Question: Consider the following table, which gives a security analyst's expected return on two stocks for two particular market returns: Aggressive Stock 7% 15 2.2% 25

Consider the following table, which gives a security analyst's expected return

Consider the following table, which gives a security analyst's expected return on two stocks for two particular market returns: Aggressive Stock 7% 15 2.2% 25 Defensive Stock 5.0% 12 a. What are the betas of the two stocks? (Round your answers to 2 decimal places.) Beta A Beta D b. What is the expected rate of return on each stock if the market return is equally likely to be 7% or 15%? (Round your answers to 2 decimal places.) Rate of return on A Rate of return on D c. I e T bill rate is 7%, and the market return is equally kely to be 7% or 15% intermediate calculations. Round your answers to 2 decimal places.) nat are the ai aso e stocks egative values should be indicated y am nus s n no round Alpha A Alpha D

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