Question
Suppose the ABC has a beta of 1.32, whereas the beta of ZYZ Limited is 0.58. If the risk-free interest rate is 3%, and the
Suppose the ABC has a beta of 1.32, whereas the beta of ZYZ Limited is 0.58. If the risk-free interest rate is 3%, and the market risk premium is 6%, what is the expected return of an equally weighted portfolio of ABC and ZYZ?
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Principles of Managerial Finance
Authors: Lawrence J. Gitman, Chad J. Zutter, Wajeeh Elali, Amer Al Roubaix
Arab World Edition
1408271583, 978-1408271582
