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Your retirement fund consists of an $8,000 investment in each of 18 different common stocks. The portfolio's beta is 1.10. Suppose you sell one of
Your retirement fund consists of an $8,000 investment in each of 18 different common stocks. The portfolio's beta is 1.10. Suppose you sell one of the stocks with a beta of 0.5 for $8,000 and use the proceeds to buy another stock whose beta is 1.4. Calculate your portfolio's new beta. Do not round intermediate calculations. Round your answer to two decimal places
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Finance Applications And Theory
Authors: Marcia Millon Cornett, John R. Nofsinger, Troy Adair
3rd International Edition
1259252221, 9781259252228
