Kristina Raattama Holds a $200,000 Portfolio Consisting of the Following $E$

Multiple Choice

Kristina Raattama holds a $200,000 portfolio consisting of the following stocks. The portfolio's beta is 0.875.

If Kristina replaces Stock A with another stock, $E$ , which has a beta of 1. 50 , what will the portfolio'g new beta be?

A) $1.07$
B) $1.13$
C) $1.18$
D) $1.24$
E) $1.30$