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Intro You've analyzed IBM's stock and expect it to deliver a return of 8% over the next year. The stock has a beta of 0.5.

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Intro You've analyzed IBM's stock and expect it to deliver a return of 8% over the next year. The stock has a beta of 0.5. The risk-free rate is 2.5% and the expected market risk premium is 4.5%. Attempt 175 for 10 pts. Part 1 What is the security's expected alpha? 4+ decimals Submit Part 2 Attempt 1/5 for 10 pts. What is the security's expected alpha in equilibrium according to the CAPM? 0+ decimals Submit

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