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Asset W has an expected return of 8.8 percent and a beta of.90. If the risk-free rate is 2.6 percent, complete the following table for

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Asset W has an expected return of 8.8 percent and a beta of.90. If the risk-free rate is 2.6 percent, complete the following table for portfolios of Asset Wand a risk-free asset. What is the slope of the line that results? Input area: Stock E(R) Stock beta Risk-free return 8.80% 0.90 2.60% + (Use cells A6 to B8 from the given information to complete this question.) Output area: Portfolio E(R) Portfolio beta Weight of W 0% 25% 50% Weight of risk-free 100% 75% 50% Output area: Portfolio E(R) Portfolio beta Weight of W 0% 25% 50% 75% 100% 125% 150% Slope of SML Weight of risk-free 100% 75% 50% 25% S 0% -25% -50%

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