You have been managing a 5 million portfolio that has a


You have been managing a $5 million portfolio that has a beta of 0.75 and a required rate of return of 14%. The current risk-free rate is 5.25%. Assume that you receive another $500,000. If you invest the money in a stock with a beta of 0.70, what will be the required return on your $5.5 million portfolio? Round your answer to two decimal places.

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Financial Management: You have been managing a 5 million portfolio that has a
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