Question: Currently, the risk-free return is 3 percent and the expected market rate of return is 10 percent. What is the expected return of the following

Currently, the risk-free return is 3 percent and the expected market rate of return is 10 percent. What is the expected return of the following three-stock portfolio?

Amount Invested Beta

$400,000 .......... 1.5

500,000 .......... 2.0

100,000 .......... 4.0


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