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You invest $600 in security A with a beta of 1.2 and $400 in security B with a beta of 0.90. The beta of the resulting portfolio is

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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You invest $600 in security A with a beta of 1.2 and $400 in security B with a beta of 0.90. The
beta of the resulting portfolio is

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