Question: Do not do any interim rounding, calculate values to 6 decimal places before converting to percentages, state the answer to two places, do not use

Do not do any interim rounding, calculate values to 6 decimal places before converting to percentages, state the answer to two places, do not use labels (%, $). For example, if the value is 0.06458, the answer is 6.46.

K.J. Lee, CFA, an analyst with Water's Edge Securities, estimates the market risk premium is 6.80% and the risk-free rate is 2.10%. She's calculated the beta for Summerfield Tech as 0.94, and she estimates the expected return is:

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