Berger Paints’ stock has an expected return of 10.5% and a β of 1.45. Mr. Manzoor invested $145,000 in a portfolio that includes stocks of Berger Paints and SPL only. The β of SPL stocks is 0.85. The expected return on Mr. Manzoor’s portfolio is 8.75%. The risk free rate is 3.5%. How much money did he invest in Berger Paints’ stocks?
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