Required: a. If you require a risk premium of 10%, how much will you be...
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Required: a. If you require a risk premium of 10%, how much will you be willing to pay for the portfolio? (Round your answer to the nearest dolla amount.) b. Suppose the portfolio can be purchased for the amount you found in (a). What will the expected rate of return on the portfolio be? (Do not round intermediate calculations. Round your answer to the nearest whole percent.) c. Now suppose you require a risk premium of 13%. What is the price you will be willing to pay now? (Round your answer to the hearest dollar amount.)
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