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1 . What is the expected return of a portfolio of two stocks that has 7 0 0 shares of stock A , which has

1.What is the expected return of a portfolio of two stocks that has 700 shares of stock A, which has a price of $30.00 per share and an expected return of 9.05%, and $37,000 of stock B, which has a beta of 1.25? The market has an expected return of 12.80%, the inflation rate is 2.30%, and the risk-free rate is 2.60%. Answer in decimal format, rounded to the nearest hundredth of a percent (for example, 1.23% would be entered as 0.0123).
2. County Idiot stock is expected to be priced at $43.78 in 1 year. It is expected to pay its next dividend, which is expected to be $1.61, in 1 year. The stock has a beta of 0.87. The market has an expected return of 14.96%, the risk-free rate is 4.37%, and the inflation rate is 2.74%. What is the current price of County Idiot stock?

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