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Using question from attachment please answer question using excel and show formulas. Suppose that you are currently holding a portfolio consisting of Firm B only.

Using question from attachment please answer question using excel and show formulas.

Suppose that you are currently holding a portfolio consisting of Firm B only. If you increase your portfolio weight on Firm B by 0.2 (or 20%) and borrow the needed money at the risk-free rate, what will be the new standard deviation of your portfolio?

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