1) Assume that you have a security, A, that has a beta of 1 and an expected return of 5% A. Plot the SML and add security A to your graph B. Would you buy this asset? Why or why not? 2) Assume that you have security B, that has a beta if -1 and has an expected return of 18% A. Plot this on the graph B. Would you buy this asset? Why or why not? 3) A share of stock with a beta of 2 sells for $50. Investors expect the stock to pay a year-end dividend of $1. A. If the stock is perceived to be fairly priced today, what must be investors' expectation of the price of the stock at the end of the year? 1) Assume that you have a security, A, that has a beta of 1 and an expected return of 5% A. Plot the SML and add security A to your graph B. Would you buy this asset? Why or why not? 2) Assume that you have security B, that has a beta if -1 and has an expected return of 18% A. Plot this on the graph B. Would you buy this asset? Why or why not? 3) A share of stock with a beta of 2 sells for $50. Investors expect the stock to pay a year-end dividend of $1. A. If the stock is perceived to be fairly priced today, what must be investors' expectation of the price of the stock at the end of the year