1)Jim Angel holds a $200,000 portfolio consisting of the following stocks: Stock Investment Beta A $50,000 1.20 B $50,000 0.80 C $50,000 1.00 D $50,000 1.20 Total $200,000 What is the portfolio's beta? Do not round your intermediate calculations. a. 0.861 b. 0.809 c. 1.050 d. 1.239 e. 1.040

2) Molen Inc. has an outstanding issue of perpetual preferred stock with an annual dividend of $2.00 per share. If the required return on this preferred stock is 6.5%, at what price should the stock sell?

a. $32.92

b. $30.77

c. $23.38

d. $27.38

e. $38.15