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HW17-11) You own a portfolio that has 5,000 shares of stock A, which is priced at 11.6 dollars per share and has an expected return
HW17-11) You own a portfolio that has 5,000 shares of stock A, which is priced at 11.6 dollars per share and has an expected return of 12.81 percent, and 2,200 shares of stock B, which is priced at 25.9 dollars per share and has an expected return of 5.96 percent. The risk-free return is 2.64 percent and inflation is expected to be 1.61 percent. What is the risk premium for your portfolio? Answer as a rate in decimal format so that 12.34% would be entered as .1234 and 0.98% would be entered as .0098.
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