In a hypothetical market Asset 1 Asset 2 6% 10% Beta 08 18 whererU) expected return of asset); beta(beta coefficient of asset) a. Based on the Information from the table above, derive the Security Market Line (SML) (5 points) b. Suppose that there is a third asset. Betal3= 2. Yahoo Finance reports that the average rate of return is 9% What is the predicted return according to CAPM? (3 points) c is the asset overpriced or underpriced? (2 points) Short Answer Toolbar navigation 111 Allah