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13 An investor has $10,000 to invest in 5 different stocks. Information regarding the 5 stocks is shown in the table below: Stock Expected Return
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An investor has $10,000 to invest in 5 different stocks. Information regarding the 5 stocks is shown in the table below: Stock Expected Return Beta Amount Invested $1,533.00 A 9.00% 1.00 $2,713.00 10.00% 1.20 $2,838.00 6.50% 0.70 8.00% 0.90 $820.00 1.40 $2,096.00 12.00% Also, the risk free rate for the economy is currently 3.00% Given the above information, what is the market risk premium for investors (assuming the expected portfolio return is equal to the required portfolio return)? Submit Answer format: Percentage Round to: 2 decimal places (Example: 9.24%, % sign required. Will accept decimal format rounded to 4 decimal places (ex: 0.0924)) mStep by Step Solution
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