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An Investor Divides Her Portfolio into Thirds,with One Part in Treasury

question 32

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An investor divides her portfolio into thirds,with one part in Treasury bills,one part in a market index,and one part in a diversified portfolio with beta of 1.50.What is the beta of the investor's overall portfolio?


Definitions:

Anorexia Nervosa

is an eating disorder characterized by an abnormally low body weight, intense fear of gaining weight, and a distorted perception of body weight or shape.

Bulimia Nervosa

An eating disorder marked by binge eating followed by methods to avoid weight gain such as vomiting, fasting, or excessive exercise.

Symptoms

Signs or indicators of a condition or disease, which can be physical or psychological, such as fever, anxiety, or coughing.

Behaviors

The actions or reactions of an individual or system in response to external or internal stimuli.

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