Assignment:
Ethler Enterprise has an unlevered beta of 1.1. Ether is financed with 35% debt and has levered beta of 1.2. If the risk free rate is 5.5% and the market risk prremium is 5%, how much is the additional premium that Ether's shareholders require to be compensated for financial risk? Round answer to two decimal places. i believe I am looking for a percent!