Question: Question 11 1 pts Understanding CAPM language. Suppose the stock of Starbucks has a beta of 0.8. Also, assume the market risk premium is 7

Question 11 1 pts Understanding CAPM language. Suppose the stock of Starbucks has a beta of 0.8. Also, assume the market risk premium is 7 percent and the risk-free rate is R = 5 percent. What is the expected return for Starbucks of E (Ri)? (Hint: read the question very carefully). 19.62 percent 12.5 percent 20.77 percent 6.85 percent 10.6 percent Question 12 1 pts Portfolio Weighting-1 Suppose you own a portfolio of high tech stocks currently valued as follows: $16,000 in Google/Alphabet; $12,000 in Intel; $85,000 in Apple; and $28,000 in Microsoft. What is the portfolio weight of your stock in Apple? 49.9 percent 13.2 percent 60.3 percent 15.15 percent 12.1 percent

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