Question: Incorrect Question 4 0/7 pts Consider the following expected returns, volatilities, and correlations: Stock Duke Sacro W Murt Expected Standard with Coman with relation with

Incorrect Question 4 0/7 pts Consider the following expected returns, volatilities, and correlations: Stock Duke Sacro W Murt Expected Standard with Coman with relation with Erturan Dury Microsoft Wal Mast 10 us LD 2 sa 10 The volatility of a portfolio (standard deviation) that is equally invested in Microsoft and Wal-Mart is closest to: 16:00 3.11% Incorrect Question 5 0/7pts You are considering investing in a portfolio with exactly two stocks Tesla and Microsoft Suppose Tesla's stock has a beta of 1.96, whereas Microsoft's beta is 0.78. If the risk-free rate is 5%, and the expected return of the market portfolio is 10%, what is the expected return of the portfolio with 60% investment in Testa and 40% investment in Microsoft? (Hint: Use CAPM) 1165 14. 80%

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