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You manage the MSB portfolio of $30 million. The portfolio has a beta of 1.2 and a required return of 12 percent. MSB receives an

You manage the MSB portfolio of $30 million. The portfolio has a beta of 1.2 and a required return of 12 percent. MSB receives an $10 million additional to invest in the portfolio. You invest this new money in a stock with a beta of 1.8. The risk-free rate is 5 percent. What is the required return on the total portfolio after the addition of new funds

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