1.A Treasury Bill currently has an expected return of 3% and a well-diversified portfolio is currently expected to return 9%. If you have the choice of the following securities which appears to be the best investment?

	Security	Beta	Expected Return
A	Stock A	0.8	7.8%
B	Stock B	1.5	11%
C	Stock C	2.2	17%

		Stock C
		Stock B
		Stock A
		None of them are good investments.
		They are all good investments.

2.If a 6% annual coupon bond which has a 3.5% yield to maturity is selling for $1300, how long must it be before the bond matures?