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QUESTION 6 XYZ owns a portfolio that has 8,000 shares of stock A, which is...

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QUESTION 6 XYZ owns a portfolio that has 8,000 shares of stock A, which is priced at $11.75 per share and has an expected return of 7.03%, and 6,000 shares of stock B, which is priced at $7.50 per share and has an expected return of 12.70% The risk-free return is 3.52% and inflation is expected to be 1.81%. What is the risk premium for XYZS portfolio? a. 6.95% (plus or minus 0.05 percentage points) Ob. 7.08% (plus or minus 0.05 percentage points) O c. 5.37% (plus or minus 0.05 percentage points) O d. 5.97% (plus or minus 0.05 percentage points) e. None of the above is within 0.05 percentage points of the correct

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