5 Suppose you are managing the following investments in a mutual fund Company Investment Beta A...

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5 Suppose you are managing the following investments in a mutual fund Company Investment Beta A 400,000 1.5 B 600,000 (0.5) C 1,000,000 1.25 D 2,000,000 0.75 If your calculations show that the market return is 12% and the risk-free rate is 6%, what would be your fund's required rate of return? (a) 8% (b) 9% (c) 10.6% (d) none of the answers 5 Suppose you are managing the following investments in a mutual fund Company Investment Beta A 400,000 1.5 B 600,000 (0.5) C 1,000,000 1.25 D 2,000,000 0.75 If your calculations show that the market return is 12% and the risk-free rate is 6%, what would be your fund's required rate of return? (a) 8% (b) 9% (c) 10.6% (d) none of the answers