Question: Please answer step by step Suppose you hold a diversified portfolio consisting of a $12,356 invested equally in each of 10 different common stocks. The

Please answer step by step Suppose you hold a diversified portfolio

Please answer step by step

Suppose you hold a diversified portfolio consisting of a $12,356 invested equally in each of 10 different common stocks. The portfolio's beta is 1.39. Now suppose you decided to sell one of your stocks that has a beta of 1 and to use the proceeds to buy a replacement stock with a beta of 1. What would the portfolio's new beta be? 1.19 1.49 1.09 1.29 1.39

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