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Assume a risk-free rate of 6% prevails and that there is a risky portfolio P available with an expected return of 14% and a standard
Assume a risk-free rate of 6% prevails and that there is a risky portfolio P available with an expected return of 14% and a standard deviation of 20%. Graph the Capital Allocation Line (CAL) in this case, showing the slope of the CAL.
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