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S 1 3 - 1 8 Reward - to - Risk Ratios [ LO 4 ] Stock Y has a beta of 1 . 2
S RewardtoRisk Ratios LO
Stock has a beta of and an expected return of percent. Stock has a beta of and an expected return of percent. If the
tableriskfree rate is percent and the market risk premium is percent, the rewardtorisk ratios for Stocks and are,,andpercent, respectively. Since the SML rewardtorisk is isDo not round intermediate calculations and enter your answersas a percent rounded to decimal places, egand is
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