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Assume that the market is in equilibrium and you are given the following data on securities A and B and the market portfolio Questions Not

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Assume that the market is in equilibrium and you are given the following data on securities A and B and the market portfolio Questions Not yet answered Marked out of 2 P Flag question Security Expected return Cow. With A Cov. With Cov. With M 10% 0.04 B 6.23% 0.06 030 Market Portfolio 7% 7777 0.05 0.09 The risk-free rate is 3%. In equilibrium, what is the covariance of return of security A with the market portfolio implied by the above information? Select one: O a. 0.1575 O b. 0.1875 O c.0.0875 O d. 0.1125 Oon 6 Not yet answered Based on the given information in the previous question, assume that you have OMR10,000 available to invest. If you sell short OMR6,000 of security A, and invest all the available funds in security, what is the beta of stock A and B, respectively? Marked out of 2 P Flag question Select one: O a. A-0.97, 33.33 O b. A-1.75, 0.56 c.A-1.25.8.0.71 O d. A=2.08.B.0.78 Assume that the market is in equilibrium and you are given the following data on securities A and B and the market portfolio Questions Not yet answered Marked out of 2 P Flag question Security Expected return Cow. With A Cov. With Cov. With M 10% 0.04 B 6.23% 0.06 030 Market Portfolio 7% 7777 0.05 0.09 The risk-free rate is 3%. In equilibrium, what is the covariance of return of security A with the market portfolio implied by the above information? Select one: O a. 0.1575 O b. 0.1875 O c.0.0875 O d. 0.1125 Oon 6 Not yet answered Based on the given information in the previous question, assume that you have OMR10,000 available to invest. If you sell short OMR6,000 of security A, and invest all the available funds in security, what is the beta of stock A and B, respectively? Marked out of 2 P Flag question Select one: O a. A-0.97, 33.33 O b. A-1.75, 0.56 c.A-1.25.8.0.71 O d. A=2.08.B.0.78

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