Luclucluc
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bP = 1,0 = 1.48A + (0.72 * (1-A))
How does one solve for A in this given situation?
How does one solve for A in this given situation?
The discussion focuses on solving the equation for A in the context of portfolio investment, specifically using the equation bP = 1.0 = 1.48A + (0.72 * (1-A)). The correct interpretation of the equation leads to the transformation into 0.76A + 0.72 = 0. By isolating A, the solution is determined to be A = -0.9473. This calculation is crucial for understanding beta values in investment portfolios.
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Luclucluc said:bP = 1,0 = 1.48A + (0.72 * (1-A))
How does one solve for A in this given situation?