Question: Please explain how to solve using formulas Answer: .1689 Suppose you have invested $30,000 in the following three stocks: Security Amount invested Beta Stock A

Please explain how to solve using formulas

Answer: .1689

Suppose you have invested $30,000 in the following three stocks: Security Amount invested Beta Stock A $5,000 0.75 Stock B $10,000 1.10 Stock C $15,000 1.36 The risk-free rate is 4 percent and the expected return for the market portfolio is 15%. Based on the CAPM, what is the expected return for your portfolio

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