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You own a $100,000 portfolio that is invested in stock A and B. The portfolio beta is equal to the market beta. Stock A has

You own a $100,000 portfolio that is invested in stock A and B. The portfolio beta is equal to the market beta. Stock A has a beta of 1.6. Stock B has a beta of 0.8. What is the value of your investment in stock A? Show all your work.

a. $40,000

b. $60,000

c. $25,000

d. $75,000

Show all your work and steps, please.

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