Question

What are the expected returns for stocks Y and Z under the conditions shown below? |

A0 | 0.04 |

k1 | 0.07 |

k2 | 0.05 |

by,1 | 0.5 |

by,2 | 1.3 |

bz,1 | 1.2 |

bz,2 | 0.9 |

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