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Company A and Company B are Australian owned and operated Company B has a beta of 0.9. The expected return on Government bonds is 10%

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Company A and Company B are Australian owned and operated Company B has a beta of 0.9. The expected return on Government bonds is 10% and the expected return on the market financial services companies. Company A has a beta of 1.1 and portfolio is 18%. Which company has the higher expected return? Company A and Company B are Australian owned and operated financial services companies. Company A has a beta of 1.1 and Company B has a beta of 0.9. The expected return on Government bonds is 10% and the expected return on the market portfolio is 18%. Which company has the higher expected return? a Company A as it is has a higher beta b They will have the same expected returns as they operate in the same market C Expected return is not linked to beta d Company B as it is has a lower beta

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