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This is one question so please answer all parts to the question n Chapter 12 Saved Help Save CH A stock has a beta of
This is one question so please answer all parts to the question
n Chapter 12 Saved Help Save CH A stock has a beta of 12 and an expected return of 9 percent. A risk-free asset currently earns 3.3 percent a. What is the expected return on a portfolio that is equally invested in the two assets? (Do not round intermediate calculations. Ent your answer as a percent rounded to 2 decimal places.) Expected return b. If a portfolio of the two ossets has a beta of 0 35, what are the portfolio weights? (Do not round intermediate calculations. Enter your answers as a percent rounded to 2 decimal places.) Portfolio Weight Stock Risk free asset c. If a portfolio of the two assets has an expected return of 11.25 percent, what is its beta? (Do not round Intermediate calculations. Round your answer to 4 decimal places.) FIN 3325 Investme.doc 0 V ) || || 4 CC L 1 1 4 COM Step by Step Solution
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