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Question You are given the following correlation matrix for Securities J, K, and the Market: Con Security Security 1.000 .84 0841.00 0. 420 .30 Market

Question You are given the following correlation matrix for Securities J, K, and the Market: Con Security Security 1.000 .84 0841.00 0. 420 .30 Market 0.42 10.30 1.00 ou know that the variance for J, K, and the Market are, respectively: 0.0144004, 0.0225000. and 00005760. Also, lis 0.02 and RPM = 0.04. Determine the required rate of return for Security K, based on the Capital Market Line

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