Question: Please answer the following - 1a. Java Coffee's stock has a beta of 1.74 and an expected return of 20.84 percent. The risk-free rate of

Please answer the following - 1a. Java Coffee's stock has a beta of 1.74 and an expected return of 20.84 percent. The risk-free rate of return is 2.75 percent. What is the expected market risk premium...

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1. Use the price data on page 21S for the Market Index, Reynolds Computer, and Andrews to calculate the holding-period returns for the 24 months ending May 2003.

3. Plot (a) the holding-period returns for Reynolds Computer against the Market Index, and (b) the Andrews holding-period returns against the Market Index. (Use Figure 6-8 as the format for the...

2. Calculate the average monthly holding-period return and the standard deviation of these returns for the Market Index, Reynolds Computer, and Andrews.