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The risk premium for exposure to exchange rates is 8%, and the firm has a beta relative to exchange rates of .8. The risk premium
The risk premium for exposure to exchange rates is 8%, and the firm has a beta relative to exchange rates of .8. The risk premium for exposure to the consumer price index is -4%, and the firm has a beta relative to the CPI of .2. If the risk-free rate is 2%, what is the expected return on this stock?
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