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8 What is the risk premium for the following returns if the risk-free rate is 4%? State Probability Return Boom .20 .75 Good .55 .25

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What is the risk premium for the following returns if the risk-free rate is 4%? State Probability Return Boom .20 .75 Good .55 .25 Recession .15 - 10 Depression .10 - 20 O 0.3325 O 0.1525 0.0525 0.1825 O 0.2225

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