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Assume that the CAPM and SML are true. Fill in the missing values in the table. (Show the calculation process and results) Security E[Ri] s.d

Assume that the CAPM and SML are true. Fill in the missing values in the table. (Show the calculation process and results)

Security

E[Ri]

s.d (Ri)

Corr(Ri, Rm)

Beta i

Firm one

_____A____

_____B____

1.0

0.85

Firm two

_____C____

0.18

0.7

_____D____

Firm three

_____E____

0.05

_____F_____

0.8

The market

0.10

0.04

1.2

_____G_____

Risk-free asset

0.08

0

0

0

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