Question: Consider the following table, which gives a security analyst's expected return on two stocks for two particular market returns. Use this info for the next

 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. Use this info for the next two questions. Defensive Stock D Market Return 8% 20% Aggressive Stock A 6% 36% 4% 15% Question 20 (1 point) What are the betas of the two stocks? Use BA II plus to find beta Beta of stock A = 1.8, Beta of stock B = 0.33 Beta of stock A = 2.5, Beta of stock B = 0.92 Beta of stock A = 1.9, Beta of stock B = 0.85 Beta of stock A = 3.5, Beta of stock B = 0.65 Question 21 (1 point) If the T-bill rate is 6% and the market return is equally likely to be 8% and 20%, what is the return on Stock A based on CAPM and what is the alpha of stock A

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