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Assume that Treasury bills (T-bills) yield 6% and the market risk premium is 7%. [4 points] (a) What strategy would you use to construct a

Assume that Treasury bills (T-bills) yield 6% and the market risk premium is 7%. [4 points] (a) What strategy would you use to construct a portfolio with a beta of 0.25? [2 pts] (b) What is the expected return of the portfolio constructed using the strategy in (a)? [2 pts]

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