Suppose Intel stock has a beta of 1.12, whereas Boeing stock has a beta of 2.34....
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Suppose Intel stock has a beta of 1.12, whereas Boeing stock has a beta of 2.34. If the risk-free interest rate is 3.72% and the expected return of the market portfolio is 14.62%, according to the CAPM, a. What is the expected return of Intel stock? b. What is the expected return of Boeing stock? c. What is the beta of a portfolio that consists of 30% Intel stock and 70% Boeing stock? d. What is the expected return of a portfolio that consists of 30% Intel stock and 70% Boeing stock? (There are two ways to solve this.) a. What is the expected return of Intel stock? The expected return of Intel stock is %. (Round to two decimal places.) Suppose Intel stock has a beta of 1.12, whereas Boeing stock has a beta of 2.34. If the risk-free interest rate is 3.72% and the expected return of the market portfolio is 14.62%, according to the CAPM, a. What is the expected return of Intel stock? b. What is the expected return of Boeing stock? c. What is the beta of a portfolio that consists of 30% Intel stock and 70% Boeing stock? d. What is the expected return of a portfolio that consists of 30% Intel stock and 70% Boeing stock? (There are two ways to solve this.) a. What is the expected return of Intel stock? The expected return of Intel stock is %. (Round to two decimal places.)
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