Ariel holds a $5,000 portfolio that consists of four stocks. Her investment in each stock, as well as each stocks beta, is listed in the following table:

Stock	Investment	Beta	Standard Deviation
Perpetualcold Refrigeration Co. (PRC)	$1,750	1.00	15.00%
Tobotics Inc. (TI)	$1,000	1.50	11.00%
Three Waters Co. (TWC)	$750	1.10	20.00%
Mainway Toys Co. (MTC)	$1,500	0.50	22.50%

Suppose all stocks in Ariels portfolio were equally weighted. Which of these stocks would contribute the least market risk to the portfolio?

• Mainway Toys Co.
• Tobotics Inc.
• Three Waters Co.
• Perpetualcold Refrigeration Co.

Suppose all stocks in the portfolio were equally weighted. Which of these stocks would have the least amount of stand-alone risk?

• Perpetualcold Refrigeration Co.
• Tobotics Inc.
• Three Waters Co.
• Mainway Toys Co.

If the risk-free rate is 7% and the market risk premium is 8.5%, what is Ariels portfolios beta and required return? Fill in the following table:

	Beta	Required Return
Ariels portfolio	_____	____________