Use the table for the question(s) below.

Two assets with the same total risk can have very different systematic risks. Suppose that the market volatility (_M) is 20% and that Stock 1 and Stock 2 have the following characteristics:

Stock	Business	Market beta	Residual variance
1	Oil company	0.5	0.20
2	Telecommunications	1.5	0.12

The percentage of the systematic risk out of the total risk for Stock 1 is closest to _______; And, the percentage of the systematic risk out of the total risk for Stock 1 is closest to _______.

31.03%; 3.45%

None of the other answers are correct.

1.00%; 9.00%

4.76%; 42.86%

9.09%; 81.82%