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8. Portfolio risk and return Aa Aa Ariel holds a $7,500 portfolio that consists of four stocks. Her investment in each stock, as well as
8. Portfolio risk and return Aa Aa Ariel holds a $7,500 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% 16.00% 22.50% Stock Perpetualcold Refrigeration Co. (PRC) Zaxatti Enterprises (ZE) Three Waters Co. (TWC) Makissi Corp. (MC) Investment $2,625 $1,500 $1,125 $2,250 Beta 0.80 1.50 1.15 0.30 Suppose all stocks in Ariel's portfolio were equally weighted. Which of these stocks would contribute the least market risk to the portfolio? Suppose all stocks in the portfolio were equally weighted Which of these stocks would have the least amount of standalone risk? O Makissi Corp Q Zaxatti Enterprises O Perpetualcold Refrigeration Co O Zaxatti Enterprises O Makissi Corp O Three Waters Co Three Waters Co Perpetualcold Refrigeration Co If the risk-free rate is 4% and the market risk premium is 696, what is Ariel's portfolio's beta and required return? Fill in the following table: Beta Required Return Ariel's portfolio
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