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Marie has $10,000 to invest. She decided to borrow some funds at the risk-free rate of 6 percent to increase her investment in a portfolio
Marie has $10,000 to invest. She decided to borrow some funds at the risk-free rate of 6 percent to increase her investment in a portfolio with an expected return of 25 percent and a standard deviation of 30 percent. What is the expected return and standard deviation for her portfolio if she borrowed 50 percent of the portfolio value?
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