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The risk free rate is 4%, and the expected return on the market is 12%. What is the required return on portfolio consisting of 30%
The risk free rate is 4%, and the expected return on the market is 12%. What is the required return on portfolio consisting of 30% of an asset with a beta of 1.5 and the rest in an asset with no risk?
A) 7.6%
B) 8.8%
C) 12.4%
D) 10.3%
E) 9.1%
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