Suppose you have 10000 in cash and you decide to borrow, Financial Management

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Suppose you have 10000 in cash and you decide to borrow

Suppose you have $10,000 in cash and you decide to borrow another $10,000 at a(n) 6% interest rate to invest in the stock market. You invest the entire $20,000 in an exchange-traded fund (ETF) with a 11% expected return and a 20% volatility. What is your expected return on your investment?

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Financial Management: Suppose you have 10000 in cash and you decide to borrow

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Financial Management: Suppose you have 10000 in cash and you decide to borrow

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