Question: no excel work (RWJ Essentials 5 ed Ch11 Problem 17) [Using CAPM] A stock has a beta of 1.3 and an expected return of 15%.

no excel work

(RWJ Essentials 5 ed Ch11 Problem 17) [Using CAPM] A stock has a beta of 1.3 and an expected return of 15%. A risk-free asset currently earns 5.5%. What is the expected return on a portfolio that is equally invested in the two assets? If a portfolio of the two assets has a beta of 0.75, what are the portfolio weights? If a portfolio of the two assets has an expected return of 12%, what is its beta? If a portfolio of the two assets has a beta of 2.50, what are the portfolio weights? How do you interpret the weights for the two assets in this case? Explain. 10 (RWJ Essentials 5ed Ch11 Problem 19) [Reward-to-Risk Ratios] Stock Y has a beta of 1.5 and an expected return of 17%. Stock Z has a beta of 0.8 and an expected return of 10.5%. The risk-free rate is 5.5% and the market risk premium is 7.5%. Are these stocks correctly priced? Explain with CAPM. Areathese stocks_correctly oriced? Exblain with Reward_to-Risk

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