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Consider the following information and then calculate the required rate of return of the Nwadiora Investment Fund, which holds 4 stocks. The markets required rate
Consider the following information and then calculate the required rate of return of the Nwadiora Investment Fund, which holds 4 stocks. The markets required rate of return is 17.50%, the risk free rate is 3.00%, and the funds assets are as follows:
Stock | Investment | Beta |
A | 200,000 | 2.50 |
B | 300,000 | -0.50 |
C | 500,000 | 1.25 |
D | 1,000,000 | 0.75 |
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