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-5. (10 points) Consider the capital asset pricing model. E (n)=r+ beta; * [E(TM)- rf)] E (ti) is expected return of asset i, rfis risk

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-5. (10 points) Consider the capital asset pricing model. E (n)=r+ beta; * [E(TM)- rf)] E (ti) is expected return of asset i, rfis risk free rate, and E(TM) is expected return of the market portfolio Show that beta of the market portfolio is 1

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