1) Suppose that the risk-free rate is 5% and the market portfolio has an expected return of 13% with a volatility of 18%. Monsters Inc. has a 24% volatility and a correlation with the market of .60, while California Gold Mining has a 32% volatility and a correlation with the market of -.7. Assume the CAPM assumptions hold. Monsters' beta with the market is closest to: Select one: a. 1.0 b. 1.3 C. 0.6 d. 0.8 2) Suppose that the risk-free rate is 5% and the market portfolio has an expected return of 13% with a volatility of 18%. Monsters Inc. has a 24% volatility and a correlation with the market of .60, while California Gold Mining has a 32% volatility and a correlation with the market of -.7. Assume the CAPM assumptions hold. California Gold Mining's beta with the market is closest to: Select one: a. 1.25 b. -1.25 C. -0.9 d. 0.9