1.)

You own a portfolio equally invested in a risk-free asset and two stocks. One of the stocks has a beta of 1.42 and the total portfolio is equally as risky as the market.

Required:

What must the beta be for the other stock in your portfolio? (Do not round intermediate calculations. Round your answer to 2 decimal places (e.g., 32.16).)

2.)

You own a stock portfolio invested 15 percent in Stock Q, 25 percent in Stock R, 40 percent in Stock S, and 20 percent in Stock T. The betas for these four stocks are .85, .91, 1.31, and 1.76, respectively.

Required:

What is the portfolio beta? (Do not round intermediate calculations. Round your answer to 2 decimal places (e.g., 32.16).)