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7. Below is information about a portfolio of four stocks. Stock $ Value Beta A $1,000 1.25 B $2,500 0.5 C $4,200 1.11 D
7. Below is information about a portfolio of four stocks. Stock $ Value Beta A $1,000 1.25 B $2,500 0.5 C $4,200 1.11 D $2,500 0.88 a. Find the beta for the portfolio. b. If the risk-free rate is 2% and the expected return on the market is 11%, find the expected return on this portfolio.
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Public Finance
Authors: Harvey Rosen, Ted Gayer
10th edition
9781259716874, 78021685, 1259716872, 978-0078021688
