Question: Joint Probability Return on Security D Return on Security M 5/20 = .25 8% 6% 5/20 = .25 10% 10% 4/20 = .20 11% 9%

Joint Probability	Return on Security D	Return on Security M
5/20 = .25	8%	6%
5/20 = .25	10%	10%
4/20 = .20	11%	9%
2/20 = .10	15%	10%
4/20 = .20	19%	11%

If the risk-free rate is 4.36%, what is the beta of security D with respect to the market M? (If the risk-free rate were not given, could you calculate it from the data above?)

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