A financial analyst made the following forecasts for the Mattamu firm for next year: Expected market rate of return 8% Expected rate of return on Treasury bills 4% Standard deviation of market rate of return 5% Mattamu share price in one year $ 20 Correlation coefficient between the returns of the firm Mattamu and the market 0.60 Standard deviation of the rate of return of the firm Mattamu 10% Work to do : a) You borrow $ 5,000 at the safe rate (Treasury bills, 4%) in order to invest a total amount of $ 13,000 in the market portfolio (E (RM)) = 8%). What is the expected rate of return on your portfolio; What is the beta coefficient of your portfolio; Calculate the standard deviation of your portfolio's rate of return? b) Concisely define the equation of the "Capital Market Line" (CML); c) Determine the beta coefficient of the firm Mattamu ?; d) What is the equilibrium rate of return on the stock of Mattamu ?; e) The ordinary share of the firm Mattamu is currently trading at $ 19.50. Is it overvalued or undervalued ?;