A company derives 80% of its revenues in Vietnam and 20% in Indonesia; the equity risk premium for Vietnam is 8% and the equity risk premium for Indonesia is 10%. Over the next decade, the company expects its revenues in Vietnam to increase by 50% and revenues in Indonesia to quadruple. Estimate the equity risk premium for this company at the end of the decade.

Group of answer choices

8.0%

9.0%

None of the others

8.4%

8.8%