Excel Online Structured Activity: CAPM, portfolio risk, and return Consider the foliowing information for three stocks, Stocks A,B, and C. The returns on the three stocks are posilively correated, but they are not perfectiy correlated. (That is, each of the correlation coefficients is between 0 and 1. ) Fund 9 has one-third of its funds invested in each of the three stocks. The risk-free rate is 5.5%, and the market is in equilibrium. (That is, required returns equal expected returns.) The data has been coliected in the Microsot Excel Online file below. Open the spreadsheet and pertorm the required analysis to answer the questions beiow. Open spreadsheet a. What is the market risk premium (rMrM) ? Round your answer to two decimal plsces. b. What is the beta of Fund P ? Do not round intermediate calculations. Round your answer to two decimal places. 6. What is the required return of Fund P ? Do not round intermediate calculations. Round your answer to two decimal places. d. Would you expect the standard deviation of Fund P to be less than 14%, equal to 14\%, or greater than 14% ? Fund P has one-third of its funds ifvested in each of the three stocks. The risk-free rate is 5.5%, and the market is in equilibrium. (That is, required returns equal expected retums.) The data has been collected in the Microsoft Excel Online fie below. Open the spreadsheet and perform the required analysis to answer the questions below. Open spreadsheet a. What is the market risk premium (rMrAP) ? Round your answer to two decimal places. b. What is the beta of Fund P Do not round intermediate calculations. Round your answer to two decimsl places. c. What is the required return of Fund P ? Do not round intermedate calculations. Round your answer to two decimal places. d. Would you expect the standard deviation of Fund P to be less than 14%, equal to 14%, or greater than 14% ? 1. less than 14% 11. greater than 14% itI. equal to 14%