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You have $10,000 to invest in the stock market. You decide to buy $6,000 Dell stock and $4,000 Walmart. We know the beta for Dell
You have $10,000 to invest in the stock market. You decide to buy $6,000 Dell stock and $4,000 Walmart. We know the beta for Dell is 0.92; Beta for Walmart is 0.51.
1. Please find your portfolio beta.
2. Given that the risk-free rate is 4%, and the market risk premium is 7%, please find your required investment portfolio return.
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