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During the last year, you had investments in the following three stocks: Stock Beta A Amount Invested $22,500 $50,000 $20,000 B 1.1 1.55 0.8 Actual

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During the last year, you had investments in the following three stocks: Stock Beta A Amount Invested $22,500 $50,000 $20,000 B 1.1 1.55 0.8 Actual Return 14% 18% 7% During the same year, the risk-free rate was 5% and the return on the market portfolio was 12%. (1) What is the actual return earned by your portfolio? (2 marks) (ii) What is the beta of your portfolio? (2 marks) (iii) Using the beta calculated in (ii) above, calculate the required return on your portfolio

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