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Historical Returns: Expected and Required Rates of Return You have observed the following returns over time: Assume that the risk - free rate is 7

Historical Returns: Expected and Required Rates of Return
You have observed the following returns over time:
Assume that the risk-free rate is 7% and the market risk premium is 5%.
a. What are the betas of Stocks x and Y? Do not round intermediate calculations. Round your answers to two decimal places.
Stock x :
Stock Y :
b. What are the required rates of return on Stocks x and Y? Do not round intermediate calculations. Round your answers to two decimal places.
Stock x:,%
Stock Y:,%
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