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Historical Returns: Expected and Required Rates of Return You have observed the following retums over time: Assume that the risk-free rate is 6% and the

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Historical Returns: Expected and Required Rates of Return You have observed the following retums over time: Assume that the risk-free rate is 6% and the market risk premium is 5%. a. What are the betas of Stocks X and Y ? Do not round intermediate cakculations. Round your answers to two decimal places 5tockX Stock Y b. What are the recquired rates of retum on stecks x and y? Do not round intermediste calculations. Round your answers fo two decimal piaces. stockx is stock c. What is the required rate of return on a pontfolio consisting of Bo\% of Stock x and 20% of stock r Do not round intermediate calculations. Round your answer to five decimal piaces

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