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Chapter 10. Return and Risk: THE CAPITAL ASSET PRICING MODEL (CAPM) PROBLEM 3 Analyzing a Portfolio You want to create a portfolio equally as risky

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Chapter 10. Return and Risk: THE CAPITAL ASSET PRICING MODEL (CAPM) PROBLEM 3 Analyzing a Portfolio You want to create a portfolio equally as risky as the market, and you have $1,000,000 to invest. Given this information, calculate the numbers missing and fill in the rest of the following table: Asset Investment Beta Stock A $180,000 .75 Stock B $290,000 1.25 Stock C 1.45 Risk-free asset

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