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You Invest $700 in a Security with a Beta of 1.4

Question 71

Multiple Choice

You invest $700 in a security with a beta of 1.4 and $300 in another security with a beta of 0.8. The beta of the resulting portfolio is

A) 1.40.
B) 1.00.
C) 0.36.
D) 1.22.
E) 0.80.

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