Date. Stock X. Stock Y. Stock Z. Market. Risk-Free

2001. 0.10 -0.25 0.35 0.07 0.05

2002. 0.15 0.15 -0.25 0.05 0.05

2003 0.35 0.10 0.20 0.20 0.05

2004 -0.15 -0.40 0.10 0.10 0.05

7. Given the returns of stock X, Y, and Z and the return on the market portfolio, find the beta of Stock X for the period 2001-2004? A. 1.5032 B. 1.6729 C. 1.9078 D. 1.6328 8. What is the beta of Stock Y for the period 2001-2004? A. 0.9023 B. 0.6636 C. 0.7862 D. 1.2316 9. What is the beta of Stock Z for the period 2001-2004? A. 1.0631 B. 1.3820 C. 1.5038 D. 1.1286 10. What is the beta of a portfolio that invests 20% on stock X, 30% on Y, and 50% on Z? (Hint: portfolio beta is the weighted average of each individual stock beta in the portfolio) A. 0.7949 B. 0.9173 C. 1.0134 D. 1.3571 11. What is the beta of a portfolio that invests 50% on stock X, 30% on Y, and 20% on Z? A. 1.3024 B. 1.4079 C. 1.2287 D. 1.6720