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need help on this question! (will give review) You have gathered the following information about XYZ stock and the risk premia associated with this stock
need help on this question! (will give review)
You have gathered the following information about XYZ stock and the risk premia associated with this stock (according to your model): Risk factor Beta Premium Trade risk 2 2.5% Consumer confidence risk 1 1.5% Innovation risk 21% Given that you believe the US T-bill will yield 0.5% over the foreseeable future, what is the expected return on XYZ stock using your model? [Please give your answer in decimal format to the second decimal place. Thus if the answer you compute is +5.3948% please write simply 5.39) Step by Step Solution
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