What is the expected return on this portfolio what is the


We have the following investments in our portfolio:

Investment                       Amount                             Expected Return             Beta

A Stock                               $2,000                                 8%                                        .80

B Stock                               $2,500                                 12%                                     .95

C Stock                               $2,500                                 14%                                     1.20

D Stock                               $3,000                                 16%                                     1.50

What is the expected return on this portfolio? What is the beta of this portfolio? Does this portfolio have more or less systematic risk than an average asset? ( Hint look at similar example in book) Please show your calculations.

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