You are combining a risky asset with an investment in risk-free U.S. Treasury bills with...
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Finance
You are combining a risky asset with an investment in risk-free U.S. Treasury bills with one year to maturity. The U.S. Treasury bills offer a 4 percent rate of return. The risky asset has an expected return of 7 percent. If your total funds are $50,000 and you Invest $10,000 in the risky asset, calculate your portfolio expected return. 46 51% 3.5 23 65%
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