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You own a portfolio equally invested in a risk - f ree asset and two stocks. If one of the stocks has a beta of

You own a portfolio equally invested in a risk - f ree asset and two stocks. If one of the stocks has a beta of 1.1 and the total portfolio is equally as risky as the market, w hat must the beta be for the other stock in your portfolio?

A stock has a beta of 1.7, the expected return on the market is 13 percent, and the risk - free rate is 7.8 percent. What must the expected return on this stock be?

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