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You hold a diversified portfolio consisting of a $10,000 investment in each of 15 different common stocks. The portfolio beta is equal to 1.1. You

You hold a diversified portfolio consisting of a $10,000 investment in each of 15 different common stocks. The portfolio beta is equal to 1.1. You have decided to sell one of your stocks which has a beta equal to 1.9 for $10,000. You plan to use the proceeds to purchase another stock which has a beta equal to 0.6 . What will be the beta of the new portfolio?

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