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Assume that the risk-free rate, Rf , is currently 6% and that the market return, r m , is currently 11%. a. Calculate the market

Assume that the risk-free rate, Rf, is currently 6% and that the market return,rm, is currently 11%.

a.Calculate the market riskpremium.

b.Given the previous data, calculate the required return on asset A having a beta of 0.4and asset B having a beta of 1.1.

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