Question: Given values are: Portfolio expected return 11.54% Variance 0,05219 Standard deviation 22.84% Expected risk premium 6.64% approximate expected real return 7.14% exact expected real return

Given values are:

Portfolio expected return 11.54%

Variance 0,05219

Standard deviation 22.84%

Expected risk premium 6.64%

approximate expected real return 7.14%

exact expected real return 6.89%

T-bill rate 4.90%

expected inflation rate 4.40%

Please help calculate the approximate and exact expected real risk premiums.

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