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Notes: Rounded off to the nearest whole number: (e.g., 5.25, 5.56, 16.7%17%) 1. The (beta) of stock B is ? 2. The risk premium for

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Notes: Rounded off to the nearest whole number:

(e.g., 5.25, 5.56, 16.7%17%)

1. The (beta) of stock B is ?

2. The risk premium for stock B is %?

3. The expected return of stock B is % ?

4. The stock price of B is ?

The covariance between stock B and market portfolio is 0.04 The expected return of market portfolio is 10%, the variance of market portfolio is 0.02, Risk-free rate is 2% (1)Please calculate the expected return for stock B? (2)If stock B pays dividend $18 at the end of each year and forever, the stock price of B is

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