Question: Two stocks are believed to satisfy the two - factor model r 1 = 1 + 2 f 1 + f 2 r 2 =

Two stocks are believed to satisfy the two-factor model
r1=1+2f1+f2
r2=2+3f1+4f2
In addition, there is a risk-free asset with a rate of return of 10%. It is known that ?bar(r1)=15% and ?bar(r2)=20%. What are the values of 0,1 and 2 for this model?
Two stocks are believed to satisfy the two-factor model r1=1+2f1+f2 r2=2+3f1+4f2

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