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Q3) You are invested 29.60% in growth stocks with a beta of 1.85, 24.40% in value stocks with a beta of 1.23, and 46.00% in
Q3) You are invested 29.60% in growth stocks with a beta of 1.85, 24.40% in value stocks with a beta of 1.23, and 46.00% in the market portfolio. What is the beta of your portfolio? (1 point) For the final answers, round your answer to the nearest 4 decimal places (3 decimals for the reward-to-risk ratio and 2 for the beta-coefficient). If you need to use a calculated number for further calculations, DO NOT round until after all calculations have been completed Q4) An analyst gathered the following information for a stock and market parameters: stock beta = 1.48; expected return on the Market = 10.80%; expected return on T-bills = 2.30%; current stock Price = $8.19; expected stock price in one year = $8.01; expected dividend payment next year = $2.19. Calculate the a) Required return for this stock (1 point): b) Expected return for this stock (1 point): Q5) The market risk premium for next period is 9.80% and the risk-free rate is 3.60%. Stock Z has a beta of 0.77 and an expected return of 12.50%. What is the a) Market's reward-to-risk ratio? (1 point): b) Stock 7 reward to risk ratin 11 point
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