4. [Expected Rate of Return and Hubris Premiums Following is rate of return component information for First Venture investors. Rate Component Liquidity premium Risk-free rate Advisory premium Investment risk premium Target rate of return Return Component 7.5% 6 8 11.5 40 A. Calculate the expected rate of return before considering premiums for illiquidity, advisory activities, and hubris projections. B. Estimate the hubris projections premium for this First Venture investment.

4. FExpected Rate of Return and Hubri Fromiumed Following is rate of retum componest information for Fratlenture imesturs. A. Calculate the eppected rate of return Before conuidering premiums for illiquidity, advisary activities, an hubris projections. B. Estimate the hubris projections premium for this FirstVenture investment