Calculate the required return and expected return for this


You are invested 35.47% in growth stocks with a beta of 1.907 , 23.29% in value stocks with a beta of 1.131 , and 41.24% in the market portfolio.

What is the beta of your portfolio?

2. An analyst gathered the following information for a stock and market parameters: stock beta = 1.387 ; expected return on the Market = 10.07% ; expected return on T-bills = 4.65% ; current stock Price = $5.09 ; expected stock price in one year = $14.71 ; expected dividend payment next year = $1.02 .

Calculate the required return and expected return for this stock.

a) Required Return :

b) Expected Return :

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Financial Management: Calculate the required return and expected return for this
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