Question: Tom O'Brien has a 2-stock portfolio with a total value of $100,000. $45,000 is invested in Stock A with a beta of 0.75 and the

Tom O'Brien has a 2-stock portfolio with a total value of $100,000. $45,000 is invested in Stock A with a beta of 0.75 and the remainder is invested in Stock B with a beta of 1.42. What is his portfolio's beta? Do not round your intermediate calculations. Round your final answer to 2 decimal places. For your answer to be marked as correct, the response needs to be +/- .10 of the correct anaswer.

Calculate the required rate of return for Climax Inc., assuming that (1) investors expect a 3.0% rate of inflation in the future, (2) the real risk-free rate is 2.0%, (3) the market risk premium is 5.0%, (4) the firm has a beta of 1.25, and (5) its realized rate of return has averaged 15.0% over the last 5 years. Do not round your intermediate calculations. In order for an answer to be marked correct, the response needs to be =/- 0.1 from the correct answer. Enter your answer in percentage format without using the % sign

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