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The return on the risky portfolio is 15%. The risk-free rate, as well as the investors borrowing rate, is 10%. The standard deviation of return

  1. The return on the risky portfolio is 15%. The risk-free rate, as well as the investors borrowing rate, is 10%. The standard deviation of return on the risky portfolio is 20%. If the standard deviation on the complete portfolio is 25%, the expected return on the complete portfolio is ________.

    1. 6%

    2. 8.75 %

    3. 10%

    4. 16.25%

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