QUESTION 3 A mutual fund manager, has a $50 million portfolio with a beta of 1.00. The risk-free rate is 4.25%, and the market risk premium is 6.00%. She expects to receive an additional $50 million, which she plans to invest in additional stocks. After investing the additional funds, she wants the fund's required return to be 13.00%. What must the average beta of the new stocks be to achieve the target required rate of return? 1.68 1.76 O 1.85 1.92 2.04