$1.$ Suppose you have $$1000$ to invest and are using two stocks $($A and B$)$ to construct a market$-$neutral portfolio. Based on your analysis, the weight for A $=37\mathrm{.}4($attention$,$ it is $37\mathrm{.}4,$ not $37\mathrm{.}4\%),$

calculate the weight for B$.$

What do those numbers $($the two weights$)$ mean?

$2.$ If based on the CAPM regression on Facebook during $2017-2018,$ we get the following regression equation:

y $=0\mathrm{.}005+1\mathrm{.}26$x

What is Facebook's alpha? What is its historical beta? What is Facebook's future beta?

What is your judgement about Facebook based on the performance in $2017-2018?$ Is it a good investment according to the criteria we mentioned in the class?