4. The beta of land is -0.8. Using CAPM, please calculate the rate of return for this investment if the expected market return is 9%. Risk-free rate is 1.5%.

a. 4.5% b. -4.5% c. 9% d. -9%

5. Trump invested $60,000 in a 3-stock portfolio. He invested $45,000 in Stock A, $10,000 in Stock B, and the rest in Stock C. A's beta is 1.60, B's beta is 0.7, and C's beta is 1.5. What is the portfolio's beta?

a. 1.442 b. 1.394 c. 1.679 d. 1.467 e. 1.711

6. Assuming Anglo Company will grow at a constant rate of 9% a year into the indefinite future. It just paid dividends of $1 a share. The rate of return on stocks similar to Angelo is about 11%. What should a share of Angelo sell for today?

a. 55.5 b. 56.5 c. 52.5 d. 54.5 e. 57.5