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he standard deviation of the market-index portfolio is 20%. Stock A has a beta of 1.50 and a residual tandard deviation of 30%. Required: a.

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he standard deviation of the market-index portfolio is 20%. Stock A has a beta of 1.50 and a residual tandard deviation of 30%. Required: a. Calculate the total variance for an increase of 0.15 in its beta. (Do not round intermediate calculations b. Calculate the total variance for an increase of 3% in its residual standard deviation. (Do not round intermediate calculations.)

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