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Brando the has a requined rate of return on its assets (unievered equity) of 12 percent and a cost of debt of 6 persent. Its

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Brando the has a requined rate of return on its assets (unievered equity) of 12 percent and a cost of debt of 6 persent. Its current debt-to-equity ratio is 1/2. What is the required rate of return on its equity? Suppose you invest USD 5,000 in Stock A and USD 5,000 in Stock B. The variance of Stock A is 16 percent, the variance of Stock B is 24 percent, and the covariance between the two stocks is 0 percent. What is the variance of your portfollo in percent

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