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A stock has returns of 4 percent, 19 percent, -26 percent, and 16 percent for the past 4 years. Based on this information, what is

A stock has returns of 4 percent, 19 percent, -26 percent, and 16 percent for the past 4 years. Based on this information, what is the 95 percent probability range for any one given year?

-26.2 to 36.3 percent

-17.3 to 23.8 percent

-9.0 to 12.4 percent

-37.8 to 44.3 percent

-58.4 to 64.9 percent

Your portfolio has a beta of 1.24. The portfolio consists of 14 percent U.S. Treasury bills, 31 percent in stock A, and 55 percent in stock B. Stock A has a risk-level equivalent to that of the overall market. What is the beta of stock B?

1.10

1.41

1.30

0.55

1.69

The risk-free rate of return is 3 percent and the market risk premium is 10 percent. What is the expected rate of return on a stock with a beta of 1.28?

9.84

12.80

16.64

15.80

6.84

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