Consider the table below, which gives historical returns on stock A and the market: Year Market Stock A return Return 2017 .10 .16 2018 ..15 .22 2019 .17 .28 Assume that the returns above can be used to estimate distribution of future returns and the annual risk-free rate is 1.7%. Answer next 4 questions (2 MARKS) What are the expected rates of return on stock A and the market? a. E(rA)=21%, E(M)=14% b. E(TA)=22%, E(rM)=13% c. E(TA)=20%, E(M)=11% d. E(TA)=23%, E(TM)=14% e. E(TA)=22%, E(TM)=14% (3 MARKS) What is the variance of stock market returns? a. 26 (%) b. 0.13 C. 13 (%) d. 8.67 (%) e. 0.0867