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5. Portfolio risk and return Cheyenne holds a $5,000 portfolio that consists of four stocks. Her investment in each stock, as well as each stock's

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5. Portfolio risk and return Cheyenne holds a $5,000 portfolio that consists of four stocks. Her investment in each stock, as well as each stock's beta, is listed in the following table: Investment $1,750 Beta 0.80 Stock Omni Consumer Products Co. (OCP) Zaxatti Enterprises (ZE) Three Waters Co. (TWC) Filtcom Corp. (FC) Standard Deviation 18.00% 11.00% 1.90 $1,000 $750 1.10 0.60 16.00% 28.50% $1,500 Suppose all stocks in Cheyenne's portfolio were equally weighted. Which of these stocks would contribute the least market risk to the portfolio? Zaxatti Enterprises Fitcom Corp. Omni Consumer Products Co. Three Waters Co. Suppose all stocks in the portfolio were equally weighted. Which of these stocks would have the least amount of stand-alone risk? Suppose all stocks in Cheyenne's portfolio were equally weighted. Which of these stocks would contribute the least market risk to the portfolio? Zaxatti Enterprises @ Fitcom Corp. Omni Consumer Products Co. Three Waters Co. Suppose all stocks in the portfolio were equally weighted. Which of these stocks would have the least amount of stand-alone risk? Three Waters Co. Flitcom Corp. Omni Consumer Products Co. Zaxatti Enterprises if the risk-free rate is 7% and the market risk premium is 8.5%, what is Cheyenne's portfolio's bets and required return? Fill in the following table: Beta Required Return Cheyenne's portfolio Zaxatti Enterpri 0.6734 of the risk-free rate is 7% 1.5075 parket risk premium is 8.5%, what is Cheyenne's portfolio's beta and required return? Fill in the following table: 1.0050 0.8542 Required Return Cheyenne's portfolio Suppose all stocks in Cheyenne's portfolio were equally weighted. Which of these stocks would contribute the least market risk to the portfolio? Zaxatti Enterprises Flitcom Corp. Omni Consumer Products Co. Three Waters Co. Suppose all stocks in the portfolio were equally weighted. Which of these stocks would have the least amount of stand-alone risk? Three Waters Co. Flitcom Corp Omni Consumer Products Co. Zaxatti Enterprises 15.54% 1,926.96% If the risk free rate is 7% and the market 8.5%, what is Cheyenne's portfolio's beta and required return? Fill in the following table: 1,212.12% 846.50% Beta urn Cheyenne's portfolio

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