HOTEL	RETURN	WEIGHT (proporation of portfolio)	RISK (standard deviaiton fo return)
Hotel X	10%	75%	3%
Hotel Y	20%	25%	9%

1. Given that the standard deviation of returns on the market is 10 percent, the standard deviation of the Hotel Lockhart is 20 percent, and the correlation coefficient of their returns is 0.5, calculate the beta for the Hotel Lockhart.

2. If the standard deviation of returns for the Lafayette Reestaurant is 15 percent, the standard deviation of returns for the market portfolio is 12 percent, and the beta of the Lafayette Restaurant is .75, what is the correlation coefficient for the returns of the Lafayette Restuarant and the market portfolio?