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You have been provided the following data about the securities of three firms, the market portfolio, and the risk - free asset: a . Fill
You have been provided the following data about the securities of three firms, the market portfolio, and the riskfree asset:
a Fill in the missing values in the table. Leave no cells blank be certain to enter wherever required. Do not round intermediate calculations. Round the final answers to decimal places.
Security Expected Return Standard Deviation Correlation Beta
Firm A
Firm B
Firm C
The market portfolio
The riskfree asset
With the market portfolio.
b What is the expected return of Firm ADo not round intermediate calculations. Round the final answer to decimal places.
Expected return
b What is your investment recommendation for someone with a welldiversified portfolio?
multiple choice
Sell
Buy
b What is the expected return of Firm BDo not round intermediate calculations. Round your answer to decimal places. eg
Expected return
b What is your investment recommendation for someone with a welldiversified portfolio?
multiple choice
Buy
Sell
b What is the expected return of Firm CDo not round intermediate calculations. Round the final answer to decimal places.
Expected return
b What is your investment recommendation for someone with a welldiversified portfolio?
multiple choice
Sell
Buy
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