8. Portfolio risk and return Ariel 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: Beta Stock Omni Consumer Products Co. (OCP) Tobotics Inc. (TI) Western Gas & Electric Co. (WGC) Flitcom Corp (FC) Investment $1,750 $1,000 0.90 1.70 Standard Deviation 18.00% 12.00% $750 $1,500 1.20 0.60 18.00% 25.50% Suppose all stocks in Ariel's portfolio were equally weighted. Which of these stocks would contribute the least market risk to the portfolio? Tobotics Inc. Omni Consumer Products Co. Western Gas & Electric Co. Flitcom Corp. Suppose all stocks in the portfolio were equally weighted. Which of these stocks would have the least amount of stand-alone risk? Western Gas & Electric Co. Omni Consumer Products Co. Flitcom Corp. Tobotics Inc. If the risk-free rate is 7% and the market risk premium is 8.5%, what is Ariel's portfolio's beta and required return? Fill in the following table: Beta Required Return Ariel's portfolio