9. Portfolio risk and return Ariel 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: Stock Investment Beta Standard Deviation 0.80 15.00% 1.50 12.00% Andalusian Limited (AL) Kulatsu Motors Co. (KMC) Western Gas & Electric Co. (WGC) Makissi Corp. (MC) $3,500 $2,000 $1,500 $3,000 1.20 16.00% 22.50% 0.50 Suppose all stocks in Ariel's portfolio were equally weighted. Which of these stocks would contribute the least market risk to the portfolio? o Western Gas & Electric Co. 0 Andalusian Limited o Kulatsu Motors Co. O Makissi Corp. Suppose all stocks in the portfolio were equally weighted. Which of these stocks would have the least amount of standalone risk? o Western Gas & Electric Co. 0 Andalusian Limited O Makissi Corp. 0 Kulatsu Motors Co. If the risk-free rate is 4% and the market risk premium is 6%, what is Ariel's portfolio's beta and required return? Fill in the following table: Beta Required Return Ariel's portfolio