A portfolio consisting of 4 securities has a beta of 1.8. The portfolio consists of $1,500 invested in Stock A, $2,000 in Stock B, $2,500 in Stock C, and $3,000 in Stock D. What is the beta of Stock D if the betas of Stock A, B, and C are 0.7, 1.3, and 2.5, respectively?
Question 5 options:
a)
1.1
b)
2.1
c)
0.7
d)
1.6