The market price of a security is $25. Its expected rate of return is 12%. The risk-free rate is 4% and the market risk premium is 6.0%. What will be the market price of the security if its correlation coefficient with the market portfolio doubles (and all other variables remain unchanged) ? Assume that the stock is expected to pay a constant dividend in perpetuity. (Do not round intermediate calculations. Round your answer to 2 decimal places.)
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