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A. Karen sold 100 shares of Magic Eight Ball (MEB) stock at a price of $160 in a short sale. She closed her position 45
A. Karen sold 100 shares of Magic Eight Ball (MEB) stock at a price of $160 in a short sale. She closed her position 45 days later by purchasing MEB shares at $134. What was Karen's annualized return on this transaction?
b. A stock has an expected return of 17.46%. If the risk-free rate is 1.92%, what is the risk premium?
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