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Emma holds a $5,000 portfolio that consists of four stocks. Her investment in each stock, as well as each stock's beta, is listed in

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Emma holds a $5,000 portfolio that consists of four stocks. Her investment in each stock, as well as each stock's beta, is listed in the following table: Stock Investment Beta Standard Deviation Andalusian Limited (AL) $1,750 1.00 15.00% Kulatsu Motors Co. (KMC) $1,000 1.70 11.00% Three Waters Co. (TWC) $750 1.10 20.00% Flitcom Corp. (FC) $1,500 0.50 25.50% Suppose all stocks in Emma's portfolio were equally weighted. Which of these stocks would contribute the least market risk to the portfolio? Flitcom Corp. Three Waters Co. Kulatsu Motors Co. Andalusian Limited Suppose all stocks in the portfolio were equally weighted. Which of these stocks would have the least amount of stand-alone risk? Kulatsu Motors Co. Andalusian Limited Three Waters Co. Flitcom Corp. Suppose all stocks in Emma's portfolio were equally weighted. Which of these stocks would contribute the least market risk to the portfolio? Flitcom Corp. O O Three Waters Co. Kulatsu Motors Co. Andalusian Limited Suppose all stocks in the portfolio were equally weighted. Which of these stocks would have the least amount of stand-alone risk? O Kulatsu Motors Co. Andalusian Limited Three Waters Co. Flitcom Corp. If the risk-free rate is 7% and the market risk premium is 8.5%, what is Emma's portfolio's beta and required return? Fill in the following table: Beta Required Return Emma's portfolio 1.5075 15.54%

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