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Mr. K can invest the profits from his business either in a safe asset that has a return of 10% and no deviation from that return, or a risky asset with an expected return of 30% with a standard deviation of 10%. Write an equation showing the expected rate of return Mr. Krabs would expect from investing X% of his wealth in the risky asset as a function of the standard deviation (that is write something in the form r= α+ βσ, where α and β are numbers and σ is the standard deviation of the portfolio.

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