1. A bond pays $60 per year in interest and has a $1,000 par value. The market rate of interest is 8%. What is the coupon rate for this bond?
   1. 8%
   2. 2%
   3. 6%
   4. 14%
2. Consider a portfolio that is comprised of four investments; the betas and the amounts invested in each company are presented in the table below:

Company	Amount Invested	Beta
JNJ	$35,240	1.05
CAT	$53,493	1.10
GE	$67,450	0.74
IBM	$97,250	0.98

What is beta for the portfolio?

1. 0.89
2. 0.95
3. 1.01
4. 1.07