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Suppose you observe the following situation: Security T1 T2 Beta 2.32 0.71 Expected Return 23.7 13.1 Requirement-B = 8.43% If these two securities are correctly

Suppose you observe the following situation:

Security T1 T2
Beta 2.32 0.71
Expected Return 23.7 13.1

Requirement-B = 8.43%

If these two securities are correctly priced, find the market risk premium (using the findings of Requirement-B).

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