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This Question: 1 pt 1 of 5 (0 complete) This Test: 5 pts possible Suppose you invest $22,500 by purchasing 200 shares of Abbott Labs
This Question: 1 pt 1 of 5 (0 complete) This Test: 5 pts possible Suppose you invest $22,500 by purchasing 200 shares of Abbott Labs (ABT) at $55 per share, 200 shares of Lowes (LOW) at $35 per share, and 100 shares of Ball Corporation (BLL) at $45 per share. The weight of Abbott Labs in your portfolio is: O A. 48.89% B. 39.11% C. 29.33% D. 19.56% Your estimate of the market risk premium is 9%. The risk-free rate of return is 3.9% and General Motors has a beta of 1.7. According to the Capital Asset Pricing Model (CAPM), what is its expected return? A. 18.2% B. 20.2% C. 19.2% D. 17.3%
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