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Now assume that your portfolio only includes a risky asset, Asset C and a risk-free asset, Asset D. If the expected return on Asset D
Now assume that your portfolio only includes a risky asset, Asset C and a risk-free asset, Asset D. If the expected return on Asset D is 18%, the expected return on your portfolio is 12% and the percentage of your wealth allocated to Asset C is 30%, what is the risk-free rate?
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