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Attempts Keep the Highest/1 18. Problem 2-02 (Required Rate of Return) E eBook Required Rate of Return AA Corporation's stock has a beta of 1.4.

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Attempts Keep the Highest/1 18. Problem 2-02 (Required Rate of Return) E eBook Required Rate of Return AA Corporation's stock has a beta of 1.4. The risk-free rate is 3.5%, and the expected return on the market is 11%. What is the required rate of return on AA's stock? Do not round intermediate calculations. Round your answer to two decimal places. 9. Problem 2-01 (Portfolio Beta) eBook Portfolio Beta Your investment club has only two stocks in its portfolio. $40,000 is invested in a stock with a beta of 0.7, and $30,000 is invested in a stock with a beta of 2.3. What is the portfolio's beta? Do not round intermediate calculations. Round your answer to two decimal places. 21. Problem 2-07 (Required Rate of Return) D eBook Required Rate of Return) Suppose rar 5%, 12%, and rA 16%. a. Calculate Stock A's beta. Do not round intermediate calculations. Round your answer to two decimal places. b. If Stock A's beta were 1.2, then what would be A's new required rate of return? Do not round intermediate calculations. Round your answer to two decimal places. Attempts Keep the Highest/1 22. Problem 2-10 (Portfolio Required Return) eBook Problem Walk-Through Portfolio Required Return Suppose you manage a $4.265 million fund that consists of four stocks with the following investments: Stock Investment Beta A $440,000 1.50 B 525,000 -0.50 C 1,300,000 1.25 D 2,000,000 0.75 If the market's required rate of return is 9% and the risk-free rate is 4%, what is the fund's required rate of return? Do not round intermediate calculations. Round your answ two decimal places

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