Suppose you are the money manager of a $4.82 million investment fund. The fund consists of four stocks with the following investments and betas:...
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Suppose you are the money manager of a $4.82 million investment fund. The fund consists of four stocks with the

following investments and betas:


Stocks                       Investment                            Beta

A                                $460,000                                1.50

B                                $500,000                               (0.50)

C                                $1,260,000                             1.25

D                                $2,600,000                             0.75


If the market's required rate of return is 8% and the risk-free rate is 4%, what is the fund's required rate of return?

Suppose you are the money manager of a $4.82 million investment fund. The fund consists of four stocks with the following investments and betas: 

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