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03 Suppose you have the following common stocks available for investment Common Stock Beta Fateh Textile Industries 1.07 Webco Marketing Co 0.90 Indus Pharma 0.80

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03 Suppose you have the following common stocks available for investment Common Stock Beta Fateh Textile Industries 1.07 Webco Marketing Co 0.90 Indus Pharma 0.80 Next Technologies 1.30 Feeto Cement 0.60 a. If you invest 20 percent of your funds in each of the first four securities, and 10 per cent in each of the last two, what is the beta of your portfolio? b. If the risk-free rate is 8 percent and the expected return on the market portfolio is 14 percent, what will be the portfolio's expected return

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