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3. You are considering buying Tesla Stock because you believe you will earn a return of 15 percent over the coming year. If you buy

3. You are considering buying Tesla Stock because you believe you will earn a return of 15 percent over the coming year. If you buy Tesla on margin (MR=0.40), at the call money rate (margin borrowing cost) of 6 percent

a) What is the expected return on your investment?

b) What is the beta of your investment assuming Tesla has a beta of 1.10

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