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Stock A has a beta of 0.52 and volatility of 0.77. Stock B has a beta of 1.44 and volatility of 0.78. You form a
Stock A has a beta of 0.52 and volatility of 0.77. Stock B has a beta of 1.44 and volatility of 0.78. You form a portfolio with $19,000 in Stock A and $14,000 in Stock B. What is your portfolio's expected return if the market risk premium is 8.2% and the T-Bill yield is 2.6%? Enter your answer as a decimal showing four decimal places. For example, if your answer is 8.25%, enter .0825.
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