a. Compute the expected rate of return for intel cormmon stock, which has a 1.1 beta. The risk-tree rate is 4 percent aind the market portiolio (compoced of New York Stock Exchange stocks) has an expected return of 14 percent. b. Why is the rate you computed the expected rate? a. The expected rate of return for intel common stock is 4. (Round to one decimal place.) b. Why is the tate you computed the expected rate? The rate is fair and expected because the CAPM provides a theory of how risk and expected retum are connected or traded cat in the capital makets. (Select from the drob-down menu.)