Suppose you are the money manager of a 371 million


Suppose you are the money manager of a $3.71 million investment fund. The fund consists of 4 stocks with the following investments and betas:

Stock Investment Beta

A $   220,000                           1.50

B 360,000                                - 0.50

C 1,180,000                              1.25

D 1,950,000                             0.75

If the market's required rate of return is 9% and the risk-free rate is 7%, what is the fund's required rate of return? Round your answer to two decimal places. 

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Financial Management: Suppose you are the money manager of a 371 million
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