Question: Suppose you observe the following situation: Security Beta Expected return A 2.26 14% B 0.55 8% Assume these securities are correctly priced. Based on the

Suppose you observe the following situation: Security Beta Expected return A

Suppose you observe the following situation: Security Beta Expected return A 2.26 14% B 0.55 8% Assume these securities are correctly priced. Based on the CAPM, what is the expected return on the market? Report your answer in decimal form, round to 4 decimal places

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