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Consider the following simplified APT model: Consider a portfolio with equal investments in stocks P, P^2, and P^3. Assume r_f = 5%. a. What are
Consider the following simplified APT model: Consider a portfolio with equal investments in stocks P, P^2, and P^3. Assume r_f = 5%. a. What are the factor risk exposures for the portfolio? (A negative answer should be indicated by a minus sign. Do not round intermediate calculations. Round your answers to 3 decimal places.) What is the portfolio's expected return? (Do not round intermediate calculations. Enter your answer as a percent rounded to 2 decimal places.) Expected return
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