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5. Portfolio risk and return Emma holds a $10,000 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 Emma holds a $10,000 portfolio that consists of four stocks. Her investment in each stock, as well as each stock's beta, is listed in the following table: Standard Deviation 9.00% 11.50% 18.00% 22.50% Stock Omni Consumer P Tobotics Inc. (TI) Water and Power Co. (WPC) Flitcom Corp. (FC) Investment $3,500 $2,000 $1,500 $3,000 Beta 0.90 1.50 1.15 0.30 cts Co. (OCP) Suppose all stocks in Emma's portfolio were equallySuppose all stocks in the portfolio were equally weighted. weighted. Which of these stocks would contribute the Which of these stocks would have the least amount of least market risk to the portfolio? standalone risk? O Flitcom Corp. O Tobotics Inc. O Water and Power Co. O omni Consumer Products Co O Flitcom Corp. O Omni Consumer Products Co. O water and Power Co. O Tobotics Inc. If the risk-free rate is 7% and the market risk premium is 996, what is Emma's portfolio's beta and required return? Fill in the following table: Required Return Emma's portfolio 0.878 0.588 0.746 1.317

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