Question: Please show all work in excel, thanks! Find the beta of each stock. Note: Round your answers to 2 decimal places. If each scenario is





Please show all work in excel, thanks!
Find the beta of each stock. Note: Round your answers to 2 decimal places. If each scenario is equally likely, find the expected rate of return on the market portfolio and on each stock. Note: Enter your answers as a whole percent. Which stock seems to be a better buy on the basis of your answers to (a) through (c)? Consider the following two scenarios for the economy and the expected returns in each scenario for the market portfolio, an aggressive stock A, and a defensive stock D. Required: a. Find the beta of each stock. b. If each scenario is equally likely, find the expected rate of return on the market portfolio and on each stock. c. If the T-bill rate is 3%, what does the CAPM say about the fair expected rate of return on the two stocks? d. Which stock seems to be a better buy on the basis of your answers to (a) through (c)? If the T-bill rate is 3%, what does the CAPM say about the fair expected rate of return on the two stocks? Note: Do not round intermediate calculations. Enter your answers as a percent rounded to 2 decimal places
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