What is the weighted average beta of the following portfolio? Stock L has a beta of

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What is the weighted average beta of the following portfolio?

• Stock L has a beta of 1.45 and constitutes 10% of the portfolio;

• Stock M has a value of $125,000,with a beta of 0.93;

• While Stock N makes up 40% of the portfolio with a beta of 0.65, and

• Stock O, with a 2.2 beta has a dollar value of $175,000.

a. 1.24.

b. 1.31.

c. 1.54.

d. 1.76

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Fundamentals Of Financial Planning

ISBN: 9781936602094

3rd Edition

Authors: Michael A Dalton, Joseph Gillice

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