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A portfolio consists of $100,000 in Treasury bills (TB) that yield 5.5%; $150,000 in Woodside Petroleum Limited stock with an expected return of 8.5%; and

A portfolio consists of $100,000 in Treasury bills (TB) that yield 5.5%; $150,000 in Woodside Petroleum Limited stock with an expected return of 8.5%; and $150,000 in AMP stock with an expected return of 9.0%. What is the expected return for this $400,000 portfolio?

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