Question: You have until 6:18PM to complete this assignment. Intro CAPM holds true for the following two stocks: Part 1 1. Attempt 1/2 for 10 pts.

You have until 6:18PM to complete this assignment. Intro CAPM holds true for the following two stocks: Part 1 1. Attempt 1/2 for

You have until 6:18PM to complete this assignment. Intro CAPM holds true for the following two stocks: Part 1 1. Attempt 1/2 for 10 pts. A. Which stock has more total risk? B. Which stock has more systematic risk? A. Stock 2; B. Stock 1 A. Stock 2; B. Stock 2 A. Stock 1; B. Stock 1 A. Stock 1; B. Stock 2 Part 2 Attempt 1/2 for 10 pts. Which stock should have more unsystematic risk? Stock 1 Part 2 Attempt 1/2 for 10 pts. Which stock should have more unsystematic risk? Stock 1 Stock 1 and Stock 2 may have equal unsystematic risk measured in Std Dev not enough information to compute the unsystematic risk of each stock Stock 2 Part 3 Attempt 1/2 for 10 pts. When you plot a straight line going through the two stocks in xy plane ( x-axis for total risk; y axis for expected return), what do you see? a horizontal straight line an upward sloping straight line a vertical straight line a downward sloping straight line

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