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Problem 1. (10 pts) Let us consider the market model with 3 stocks which satisfies the CAPM model. Complete the blanks of the following table.

Problem 1. (10 pts) Let us consider the market model with 3 stocks which satisfies the CAPM model. Complete the blanks of the following table. 8% Bi 0.339 1.356 9% Stock S Stock S2 Stock S3 Market Portfolio Pi,M 0.477 0.953 0.794 12% 12.9%

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