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Jill Angel holds a $200,000 portfolio consisting of the following stocks. The portfolio's beta is 0.88. Stock A B D Total Investment $50,000 $50,000 $50,000
Jill Angel holds a $200,000 portfolio consisting of the following stocks. The portfolio's beta is 0.88. Stock A B D Total Investment $50,000 $50,000 $50,000 $50,000 $200,000 Beta 0.50 0.80 1.00 1.20 If Jill replaces Stock A with another stock, E, which has a beta of 1.45, what will the portfolio's new beta be? a. 1.34 b.0.83 O c. 1.00 O d. 1.17 O e. 1.11
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