Please show work (solution) as an Excel file.

Please show all steps to input for each problem into spreadsheet.

Consider a portfolio consisting of the following three stocks:

	Portfolio Weight	Volatility	Correlation with the Market Portfolio
HEC Corp	0.21	13%	0.42
Green Midget	0.31	20%	0.68
Alive And Well	0.48	12%	0.54

The volatility of the market portfolio is 10% and it has an expected return of 8%. The risk-free rate is 3%.

1. Compute the beta and expected return of each stock.
2. Using your answer from part 1 , calculate the expected return of the portfolio.
3. What is the beta of the portfolio?
4. Using your answer from part 3, calculate the expected return of the portfolio and verify that it matches your answer to part 2.