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Given the following, what is the expected inflation premium? Risk premium: 2 % Required rate of return: 5 % Real rate of return: 2 %

Given the following, what is the expected inflation premium?
Risk premium: 2%
Required rate of return: 5%
Real rate of return: 2%
Risk-free rate: 3%
Select one:
a.2%
b.4%
c.1%
d.3%
Clear my choice
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