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PM Corp's stock has a beta of 1.2, while GF Inc. stock has a beta of 1.7. If the risk-free rate is 2.2%, and the
PM Corp's stock has a beta of 1.2, while GF Inc. stock has a beta of 1.7. If the risk-free rate is 2.2%, and the market risk premium is 7%, what is the expected return on a portfolio with 40% weight in PM and 60% in GF Inc.? Select one: a. 11.6% O b. 13.25% O c. 10.5% O d. 9.4% O e. 12.7%
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