Assume the following: Rit = E(R1) + F1 +2 F2 + eit R2+ = E(R2) + F1 + 3F2 + e2t R3t = E(R3) + 3F1+F2+ ezt a. What are the factor loadings? b. Determine the common factor prices using equilibrium APT model where the expected return on zero beta portfolio = 7%, E(R1) = 19%, and E(R2) = 23% c. What must be the expected return for stock 3 at the equilibrium level? Assume the following: Rit = E(R1) + F1 +2 F2 + eit R2+ = E(R2) + F1 + 3F2 + e2t R3t = E(R3) + 3F1+F2+ ezt a. What are the factor loadings? b. Determine the common factor prices using equilibrium APT model where the expected return on zero beta portfolio = 7%, E(R1) = 19%, and E(R2) = 23% c. What must be the expected return for stock 3 at the equilibrium level