unit 4 question 6 You have been managing a $5 million portfolio that has a beta of 1.45 and a required rate of return of

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unit 4 question 6 You have been managing a $5 million portfolio that has a beta of 1.45 and a required rate of return of

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unit 4 question 6
You have been managing a $5 million portfolio that has a beta of
1.45 and a required rate of return of 7.075%. The current risk-free
rate is 2%. Assume that you receive another $500,000. If you invest
the money in a stock with a beta of 1.65, what will be the required
return on your $5.5 million portfolio? Do not round intermediate
calculations. Round your answer to two decimal places.
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