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1.You have $122,000 to invest in a portfolio containing Stock X and Stock Y. Your goal is to create a portfolio that has an expected

1.You have $122,000 to invest in a portfolio containing Stock X and Stock Y.

Your goal is to create a portfolio that has an expected return of 17.6 percent.

Stock X has an expected return of 14 percent and a beta of 1.26, and

Stock Y has an expected return of 9.5 percent and a beta of 1.00.

a)How much money will you invest in Stock Y?

b. What is the beta of your portfolio?

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