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The Treasury bill rate is 3 . 3 % , and the expected return on the market portfolio is 1 0 . 6 % .

The Treasury bill rate is 3.3%, and the expected return on the market portfolio is 10.6%. Use the CAPM:
b. What is the risk premium on the market?
Note: Enter your answer as a percent rounded to 1 decimal place.
c. What is the required return on an investment with a beta of 1.4?
Note: Do not round intermediate calculations. Enter your answer as a percent rounded to 2 decimal places.
d. If an investment with a beta of 0.87 offers an expected return of 7.6%, does it have a positive NPV?
e. If the market expects a return of 11.2% from stock x, what is its beta?
Note: Do not round intermediate calculations. Round your answer to 2 decimal places.
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