QUESTION 9 1 points Save Answer Gardner Electric has a beta of 0.88 and an expected dividend gr wth rate of 4.00% per year. The Thill rate is 4.00% and the T bond rate is 5.25%. The annual return on the stock market during the past 4 years was 10.25%. Investors expect the average annual future return on the market to be 12.50%. Using the SML, what is the firm's required rate of return? 11.92% b.1 2.52% c.1163% , 11.34% 00.1 2.22% QUESTION 10 1 points Save Answer Portfolio P has s200,000 consisting of $100,000 invested in Stock A and $100,000 in Stock B. Stock A has a beta of 1.2 and a standard deviation of 20% Stock B has a beta of 0.8 and a standard deviation of 25%, which of the following statements is CORRECT Assume that the stocks are in equilibrium.) a Portfolio P has a standard deviation of 22.5%. Ob. More information is needed to determine the portfolio'sbeta. Oc. Stock B has a higher required rate of return than Stock A. Od. Stock A's refurns are less highly correlated with the returns on most other stocks than are B's returns Oe. Portfolio P has a beta of 1.0