(Answered) Star corp has a beta coefficientnbspof 12 andnbspmoon

Engineering

Star Corp. has a beta coefficient of 1.2, and Moon Enterprises has a beta coefficient of 0.8. The risk-free rate of interest is 4% and the market risk premium is 7%.

What is the expected return on a portfolio with 40% of its assets invested in in Star Corp. and the rest invested in Moon Entreprises?

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