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Q. The stock which you want to purchase has a beta of 4.5, You, as of today, have a total stock portfolio of Rs. 500,000.

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The stock which you want to purchase has a beta of 4.5, You, as of today, have a total stock portfolio of Rs. 500,000. If you decide to bring this stock in your portfolio by making investment of Rs. 100,000, what will be the beta of your new portfolio assuming that the current beta of your portfolio is 2.65.

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