You want to create a portfolio equally as risky as the


You want to create a portfolio equally as risky as the market, and you have $1,400,000 to invest. Consider the following information:

Asset                       Investment                       Beta

Stock A                            $280000                     0.80

Stock B                            $350000                     1.25

Stock C                                                                   1.50

Risk-free asset

Required:

What is the investment in Stock C? (Do not round your intermediate calculations.) ? ANSWER IS : 512,026 OR 467,716 OR 492,333 OR 472,640 OR 307,222

What is the investment in risk-free asset? (Do not round your intermediate calculations.) ANSWER IS : 266,560 OR 263,784 OR 462,778 OR 288,774 OR 277,667

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Financial Management: You want to create a portfolio equally as risky as the
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