Question: EVALUATING RISK AND RETURN Stock X has a 10.5% expected return, a beta coefficient of 1.0, and a 35% standard deviation of expected returns. Stock

EVALUATING RISK AND RETURN Stock X has a 10.5% expected return, a beta coefficient of 1.0, and a 35% standard deviation of expected returns. Stock Y has a 12.5% expected return, a beta coefficient of 1.2, and a 30.0% standard deviation. The risk-free rate is 6%, and the market risk premium is 5%. Calculate each stock's coefficient of variation. Round your answers to two decimal places. Do not round intermediate calculations. Cvx= ?Cvy=? C.Calculate each stock's required rate of return.Rx=? Ry=? Round your answers to two decimal places. D. On the basis of the two stocks' expected and required returns, which stock would be more attractive to a diversified investor? E. Calculate the required return of a portfolio that has $9,500 invested in Stock X and $3,000 invested in Stock Y. Do not round intermediate calculations. Round your answer to two decimal places. F. If the market risk premium increased to 6%, which of the two stocks would have the larger increase in its required return?

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