4. Lindsay Brown owns a risky portfolio with a 15% expected return. The riskfree return is 5%....

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4. Lindsay Brown owns a risky portfolio with a 15% expected return. The riskfree return is 5%. What is the expected return on Lindsay's total portfolio if Lindsay invests the following proportions in the risky portfolio and the remainder in the riskfree asset?

a. 120%

b.90%

c.75%

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Investments

ISBN: 9788120321014

6th Edition

Authors: William F. Sharpe, Gordon J. Alexander, Jeffery V. Bailey

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