Question: 1. Calculate the (a) expected return, (b) standard deviation, and (c) coefficient of variation for an investment with the following probability distribution: Probability Payoff 0.45

1. Calculate the (a) expected return, (b) standard deviation, and (c) coefficient of variation for an investment with the following probability distribution:

Probability	Payoff
0.45	32.0%
0.35	-4.0
0.20	-20.0

2. Of the $60,000 invested in a two-stock portfolio, 40 percent is invested in Stock S and 60 percent is invested in Stock X. If Stock S has a beta coefficient equal to 1.5 and the beta of the portfolio is 2.1, what is the beta coefficient of Stock X?

3. Suppose the risk-free rate of return is 4 percent and the market return is expected to be 12 percent. What is the required rate of return for a stock with a beta coefficient equal to 2.5?

Please you excel if possible.

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