What must the market risk of the stock be

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A stock will provide a rate of return of either ?29% or +34%. a. If both possibilities are equally likely, calculate the expected return and standard deviation. (Do not round intermediate calculations. Round your answers to 1 decimal place.) Expected return % Standard deviation % b. If Treasury bills yield 2.5% and investors believe that the stock offers a satisfactory expected return, what must the market risk of the stock be? Market risk $

Reference no: EM13297794

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