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Business, 21.11.2019 21:31 kobiemajak

The two-factor model on a stock provides a risk premium for exposure to market risk of 9%, a risk premium for exposure to interest rate risk of (-1.3%), and a risk-free rate of 3.5%. the beta for exposure to market risk is 1, and the beta for exposure to interest rate risk is also 1. what is the expected return on the stock?

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