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15. A stock has an expected rate of return of 12.5%, beta of 1.35, and standard deviation of 23%. Assume the risk-free rate is 3.75%.

15.

A stock has an expected rate of return of 12.5%, beta of 1.35, and standard deviation of 23%. Assume the risk-free rate is 3.75%. What is the risk premium on this stock?

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