Question: P13-16 Using CAPM (L04] A stock has an expected return of 12 percent, its beta is 1.3, and the expected return on the market is

 P13-16 Using CAPM (L04] A stock has an expected return of
12 percent, its beta is 1.3, and the expected return on the

P13-16 Using CAPM (L04] A stock has an expected return of 12 percent, its beta is 1.3, and the expected return on the market is 10 percent. What must the risk-free rate be? Multiple Choice 3.47% 3.179 3.33% 3.50% -1.00% You own a stock portfolio invested 15 percent in Stock Q, 15 percent in Stock R, 15 percent in Stock S, and 55 percent in Stock T. The betas for these four stocks are 1.36, 0.92, 1.76, and 0.89, respectively. What is the portfolio beta? Multiple Choice 1.04 O 1.07 1.1 1.15 1.12

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