Business, 14.06.2021 15:20 burnsmykala23

(A small world) Consider a world in which there are only two risky assets. A and B, and a risk-free asset F. The two risky assets are in equal supply in the market: that is, M-률 (A + B). The following information is known: rF = .10, σ1-04, σ&B .01, = .02, and r,-18. (a) Find a general expression (without substituting values) for σ, β, and β
(b) According to the CAPM, what are the numerical values of TA and Fa?

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(A small world) Consider a world in which there are only two risky assets. A and B, and a risk-free...

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