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1. Your portfolio is comprised of 30 percent of Stock X, 20 percent of Stock Y, and 50 percent of Stock Z. Stock X has

1. Your portfolio is comprised of 30 percent of Stock X, 20 percent of Stock Y, and 50 percent of Stock Z. Stock X has a beta of 1.01, Stock Y has a beta of 0.93, and Stock Z has a beta of 1.33. What is the beta of your portfolio? (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.)

2. You own a portfolio that has $16,000 invested in Stock A and $17,000 invested in Stock B. The expected returns on these stocks are 14.9 percent and 9.7 percent, respectively. What is the expected return on the portfolio? (Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.)

3. The common stock of Manchester & Moore is expected to earn 16.2 percent in a recession, 8 percent in a normal economy, and lose 3.5 percent in a booming economy. The probability of a boom is 18 percent while the probability of a recession is 7 percent. What is the expected rate of return on this stock? (Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.)

4. The risk-free rate of return is 2.8 percent, the inflation rate is 3.1 percent, and the market risk premium is 5.9 percent. What is the expected rate of return on a stock with a beta of 0.58? (Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.)

PLEASE DO ALL 4 I WILL MAKE SURE TO THUMBS UP!!

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