You want your portfolio beta to be 1.24. Currently, your portfolio consists of $3,000 invested in stock A with a beta of 1.58 and $2.000 in stock B with a bela of 0.68. You have another $5,000 to invest and want to divide it between an asset with a beta of 1.48 and a risk-free asset. How much should you invest in the risk-free asset?

Multiple Choice

609

773

1286

743

1984