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Problem 13-19 Reward-to-Risk Ratios (LO4] Stock Y has a beta of 1.4 and an expected return of 14.7 percent. Stock Z has a beta of

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Problem 13-19 Reward-to-Risk Ratios (LO4] Stock Y has a beta of 1.4 and an expected return of 14.7 percent. Stock Z has a beta of 7 and an expected return of 8.7 percent What would the risk-free rate have to be for the two stocks to be correctly priced? (Do not found intermediate calculations. Enter your answer as a percent rounded to 2 decimal places, e.g. 32.16.) Risk free rate

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