Question: here are three securities, Security A, Security B, and Security C. Security C is equivalent to the portfolio of two units of Security A and

here are three securities, Security A, Security B, and Security C. Security C is equivalent to the portfolio of two units of Security A and three units of Security B. The risk free interest rate is X%.

Security A will provide you dollars of $660 amount today without any risk. Security B will provide you $1000 in two years without any risk.

Suppose the no-arbitrage price of Security C is $3800, then X% is closest to:

9.99

8.25

2.88

9.11

7.42

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