Fill in the missing information in the following table. Assume that Portfolio AB is 50 percent invested in Stock A.

Note: A negative value should be indicated by a minus sign. Do not round intermediate calculations. Enter your answers as a percent rounded to 2 decimal places.

19.

Asset W has an expected return of 16.0 percent and a beta of 1.45. If the risk-free rate is 3.2 percent, what is the market risk premium?

Note: Do not round intermediate calculations. Enter your answer as a percent rounded to 2 decimal places.

21.

Suppose you observe the following situation:

Security	Beta	Expected Return
Peat Company	1.60	13.40
Re-Peat Company	0.85	10.70

Assume these securities are correctly priced. Based on the CAPM, what is the expected return on the market? What is the risk-free rate?

Note: Do not round intermediate calculations. Enter your answers as a percent rounded to 2 decimal places.

Problem 11-10 Portfolio Returns and Volatilities (LO2, CFA4) Fill in the missing information in the following table. Assume that Portfolio AB is 50 percent invested in Stock A. Note: A negative value should be indicated by a minus sign. Do not round intermediate calculations. Enter your answers as a percent rounded to 2 decimal places. Asset W has an expected return of 16.0 percent and a beta of 1.45 . If the risk-free rate is 3.2 percent, what is the market isk premium? Note: Do not round intermediate calculations. Enter your answer as a percent rounded to 2 decimal places. Problem 12-15 Relative Valuation (LO3, CFA3) Suppose you observe the following situation: Assume these securities are correctly priced. Based on the CAPM, what is the expected return on the market? What is the risk-free rate? Note: Do not round intermediate calculations. Enter your answers as a percent rounded to 2 decimal places