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A stock has the following four factors which were used to explain the return on Stock YGF and the level of sensitivity of each factor
A stock has the following four factors which were used to explain the return on Stock YGF and the level of sensitivity of each factor and the risk premium associated. GDP growth: = 0.4, RP= 3% Inflation rate: = 0.5, RP=3% Commodity prices: =-0.6, RP=6% Standards and Poors 500 Index Returns: =1.5, RP=8% While the risk free rate is 4% Using the APT formula, calculate the expected returns on the said stock
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