Complete the steps below using cell references to given data or previous calculations. In some cases, a simple cell reference is all you need. To copy/paste a formula across a row or down a column, an absolute cell reference or a mixed cell reference may be preferred. If a specific Excel function is to be used, the directions will specify the use of that function. Do not type in numerical data into a cell or function. Instead, make a reference to the cell in which the data is found. Make your computations only in the blue cells highlighted below. In all cases, unless otherwise directed, use the earliest appearance of the data in your formulas, usually the Given Data section. Consider a portfolio consisting of the following three stocks: Correlation with Market Portfolio 0.4 HEC Corp Green Midget Alive And Well Portfolio Weight 0.25 0.35 0.40 Volatility 12% 25% 13% 0.6 0.5 The volatility of the market portfolio is 10% and it has an expected return of 8%. The risk-free rate is 3%. a. Compute the beta and expected return of each stock. b. Using your answer from part a, calculate the expected return of the portfolio. c. What is the beta of the portfolio? d. Using your answer from partc, calculate the expected return of the portfolio and verify that it matches your answer to part b. Volatility of market portfolio Market expected return Risk-free rate 10% 8% 3% a. Compute the beta and expected return of each stock. Beta E[R] Stock HEC Corp Green Midget Alive And Well b. Using your answer from part a, calculate the expected return of the portfolio. Expected return c. What is the beta of the portfolio? Beta d. Using your answer from partc, calculate the expected return of the portfolio and verify that it matches your answer to part b. Expected return Match