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Q13) The market risk premium for next period is 5.94% and the risk-free rate is 2.45%. Stock Zhas a beta of 1.367 and an expected

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Q13) The market risk premium for next period is 5.94% and the risk-free rate is 2.45%. Stock Zhas a beta of 1.367 and an expected return of 13.75%. Compute the following: a) Market's reward-to-risk ratio : (0.75 points) b) Stock Z s reward-to-risk ratio : (0.75 points )

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