Question: Consider the following table, which gives a security analyst's expected return on two stocks for two particular market returns: Market Return 88 20 Aggressive Stock

Consider the following table, which gives a security analyst's expected return on two stocks for two particular market returns: Market Return 88 20 Aggressive Stock 3.98 30 Defensive Stock 5.78 14 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 likel to be 8% or 20%? (Round your answers to 2 decimal places.) Rate of return on A Rate of return on D % %

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