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Consider the following portfolio: Microsoft Beta, 1.5; risk premium, 8%, portfolio weight, 0.3 American Electric Power: Beta, 1.8; risk premium, 7%, portfolio weight, 0.5 Gold:

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Consider the following portfolio: Microsoft Beta, 1.5; risk premium, 8%, portfolio weight, 0.3 American Electric Power: Beta, 1.8; risk premium, 7%, portfolio weight, 0.5 Gold: Beta, 0.0; risk premium, 0.0%, portfolio weight, 0.2 Calculate the weighted average of risk premiums of the individual stocks. Select one: O a. 7.9% @b. 3.5% O c. 5.9% d. 15% M

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