Question: Show all your computations. The analysts at JP MORGAN compiled information on the following securities. Stock Facebook (FB) Best Buy (BBY) Chipotle Mexican Grill (CMG)

Show all your computations. The analysts at JP MORGAN compiled information on the following securities. Stock Facebook (FB) Best Buy (BBY) Chipotle Mexican Grill (CMG) Pfizer (PF) 3M Co (MMM) Investment $100 million 120 million 40 million Stock's Beta Coefficient 1.5 1.2 1.8 Standard Deviation 12.5% 18.2 21.84 Expected Return 18.0% 21.0 10.0 80 million 60 million 1.5 1.6 9.0 11.36 8.0 14.0 You are a manager of a private equity fund who has decided to construct a portfolio consisting of all the securities listed. 1. Compute the return on the portfolio. 2. Compute the beta of the portfolio. 5 points 5 points

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