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Gehegehund, 500 medinte Stock Investment She's Beta Coeficient A 1160 05 3 120 C 80 22 0 m 10 O sed more than you betere

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Gehegehund, 500 medinte Stock Investment She's Beta Coeficient A 1160 05 3 120 C 80 22 0 m 10 O sed more than you betere they are 0.1 3 04 11 F 01 Women) LEN IN WO WINN WE Speves proposong new The undang trendy temat eBook You plan to invest in the Kiah Hedge Fund, which has total capital of 500 million invested in five stacks: Stock Investment Stock's Beta Coefficient A $160 million 0.5 B 120 million 1.1 80 million 2.2 D 80 million 1,0 60 million 1.8 Kish's beta coefficient can be found as a weighted average of its stocks betas. The risk free rate it 4%, and you believe the following probability distribution for future market returns is realistic Probability Market Return 0.1 -29% 02 0 0.4 11 0.2 31 0.1 54 What is the cution for the security Market In (SME)? Hint First determine the expected market retum) LA409(9.15 IL624 -40) IV - 7.29 +19.1% V.17.207.7%) b. Calle d'argured rate of return. Do not found intermediate calculations. Aound your answer to two decimal places SUPOS Kish, the president, receves a proposal from a companying capit. The amount needed to take a position in the stock is $50 milion, it has an expected return of 16, and its estimated betais 1.4. Should Kish invest in the company? The stock be purchased At whatepected rate of return should Kish be interent to purchasing the stock) Round your answer to two decimal places

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