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Question 3 (1 point) Saved A money manager is holding the following portfolio: Stock Amount Beta Invested 1 $300,000 0.6 2 300,000 1.0 3 500,000
Question 3 (1 point) Saved A money manager is holding the following portfolio: Stock Amount Beta Invested 1 $300,000 0.6 2 300,000 1.0 3 500,000 1.4 4 500,000 1.8 The risk-free rate is 6 percent and the market's required rate of return is 12.5 percent. What is the portfolio's required rate of return? A) 22.25% B) 13.80% C) 14.45% D) 23.12% E) 13.00%
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