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15. If the simple CAPM is valid, is the following situation possible? Portfolio Expected Return Beta A 30% 1.5 B 40% 1.2 Select one: a.

15.

If the simple CAPM is valid, is the following situation possible?

Portfolio Expected Return Beta

A 30% 1.5

B 40% 1.2

Select one:

a.

Not possible

b.

Possible

c.

There is insufficient information to make the decision

d.

It depends on an investors expected rate of return

e.

It depends on the performance of the market portfolio

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