Calculate Expected rate of return on portfolio basis of the following companies accorgieg, to is investment weights:

Company

APPLE

Expected Return Beta

12%

1.5

McDonalds

RENAULT

13%

1.1

11%

15%

1.3

1.9

Samsung

Total investment in the above mentioned portfolio is 5000,000 dollars. 1.5 million is invested in

APPLE, 2.0 million in McDonalds, 1,5 million in RENAULT and rest in Samsung, ) Explain the concept of Coefficient Beta and its importance in CAPM?