a. Use the data for each of ENB and the S&P/TSX Composite Index to find the historical 95% confidence interval of each. [10 points] b. Plot the returns of the market against the returns of ENB. Add a trendline to the graph and determine the beta of the stock from your trendline. [5 points] c. Determine the variance and average annual return of the market portfolio. [3 points] d. Determine the correlation coefficient between the market portfolio and ENB. [3 points] e. What is the calculated beta for ENB using the information derived from parts a, c, and d? How does this compare with your answer to part b? [2 points] f. The current Government of Canada Benchmark 10 Year Bond Yield (which will be our risk-free rate) is 1.61%. What is the required return on ENB stock according to the CAPM? [2 points]

Name	Enbridge Inc.	S&P/TSX Composite Index
1974	-47.18%	-29.78%
1975	-5.83%	5.33%
1976	16.49%	2.81%
1977	6.19%	-1.65%
1978	10.83%	23.95%
1979	0.75%	29.72%
1980	-4.48%	41.29%
1981	-14.06%	-13.92%
1982	67.27%	-2.53%
1983	33.70%	29.29%
1984	3.25%	0.16%
1985	40.94%	13.79%
1986	-12.57%	11.70%
1987	5.75%	-3.49%
1988	0.00%	10.64%
1989	13.90%	20.10%
1990	2.12%	-22.26%
1991	1.04%	16.37%
1992	-20.57%	-7.04%
1993	20.39%	27.35%
1994	-2.96%	-0.17%
1995	13.30%	8.73%
1996	25.18%	25.84%
1997	36.72%	18.98%
1998	19.86%	-6.33%
1999	-10.01%	13.55%
2000	29.14%	31.08%
2001	16.00%	-25.25%
2002	0.00%	-10.51%
2003	17.24%	23.01%
2004	-2.56%	12.28%
2005	38.31%	20.29%
2006	10.35%	16.60%
2007	-0.30%	14.14%
2008	2.95%	-32.08%
2009	5.63%	17.24%
2010	31.99%	16.02%
2011	25.27%	-4.32%
2012	10.86%	-2.38%
2013	16.97%	9.74%
2014	13.53%	9.81%
2015	-0.58%	-7.74%
2016	10.34%	8.14%
2017	-17.97%	9.88%
2018	-7.50%	-4.64%
2019	14.38%	9.90%