Find what expected return for each security in portfolio

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Suppose the expected risk-free rate is 5% and the expected return on the market is 12%. Further suppose that you have a portfolio comprised of the four securities, with equal investments in each:

Security    Security Beta
AA                   1.00
BB                  1.25
CC                 1.50
DD                 1.00

Question a. What is the expected return for each security in your portfolio?

Question b. What is the portfolio's beta?

Question c. What is the expected return on your portfolio?

Reference no: EM132659089

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