16 & 17 i need to know how to do by hand

16. Using CAPM. A stock has an expected return of 16.4 percent and a beta of 1.3, and the expected return on the market is 14 percent. What must the risk-free rate be? 17. Using CAPM. A stock has a beta of 1.2 and an expected return of 14 percent. A risk-free asset currently earns 5 percent. a. What is the expected return on a portfolio that is equally invested in the two assets? b. If a portfolio of the two assets has a beta of.7, what are the portfolio weights? If a portfolio of the two assets has an expected return of 11 percent, what is its beta? d. If a portfolio of the two assets has a beta of 2.40, what are the portfolio weights? How do vou interpret the weigts for the two assets in this case? Explain. C