Microsoft	Apple
Date	Price	Price
10/1/10	$24.77	$10.22
11/1/10	$26.88	$10.79
12/1/10	$25.57	$11.26
1/1/11	$28.05	$11.63
2/1/11	$27.80	$12.19
3/1/11	$26.60	$12.70
4/1/11	$25.53	$12.54
5/1/11	$25.94	$12.49
6/1/11	$24.99	$12.46
7/1/11	$25.93	$12.00
8/1/11	$27.51	$14.21
9/1/11	$26.46	$13.78
10/1/11	$24.72	$13.58
11/1/11	$26.19	$14.19
12/1/11	$25.56	$13.66
1/1/12	$26.55	$14.62
2/1/12	$29.79	$16.37
3/1/12	$31.93	$19.58
4/1/12	$32.22	$21.49
5/1/12	$32.05	$20.89
6/1/12	$28.76	$20.33
7/1/12	$30.62	$20.88
8/1/12	$29.59	$22.00
9/1/12	$30.45	$23.78
10/1/12	$29.81	$23.97
11/1/12	$28.84	$21.37
12/1/12	$26.78	$21.20
1/1/13	$27.25	$19.78
2/1/13	$27.67	$16.40
3/1/13	$27.72	$15.64
4/1/13	$28.64	$15.78
5/1/13	$32.93	$15.87
6/1/13	$34.92	$16.10
7/1/13	$34.75	$14.38
8/1/13	$32.06	$16.28
9/1/13	$31.75	$17.61
10/1/13	$33.35	$17.09
11/1/13	$35.67	$18.72
12/1/13	$38.09	$19.93
1/1/14	$37.35	$19.85
2/1/14	$37.74	$17.95
3/1/14	$37.92	$18.69
4/1/14	$41.15	$19.21
5/1/14	$40.24	$21.14
6/1/14	$40.95	$22.64
7/1/14	$41.86	$23.38
8/1/14	$43.21	$23.73
9/1/14	$45.43	$25.76
10/1/14	$46.27	$25.15
11/1/14	$46.89	$27.06
12/1/14	$47.88	$29.70
1/1/15	$46.66	$27.85
2/1/15	$40.59	$29.51
3/1/15	$43.67	$32.31
4/1/15	$40.60	$31.21
5/1/15	$48.58	$31.53
6/1/15	$47.06	$32.57
7/1/15	$44.46	$31.73
8/1/15	$46.98	$30.38
9/1/15	$42.17	$27.54
10/1/15	$44.75	$27.27
11/1/15	$52.85	$30.20
12/1/15	$54.41	$29.69
1/1/16	$54.32	$25.65
2/1/16	$54.88	$24.12
3/1/16	$50.97	$24.41
4/1/16	$55.05	$27.20
5/1/16	$50.00	$23.49
6/1/16	$52.44	$24.75
7/1/16	$51.13	$23.87
8/1/16	$56.60	$26.10
9/1/16	$57.01	$26.54
10/1/16	$57.41	$28.18
11/1/16	$59.97	$28.37
12/1/16	$60.11	$27.59
1/1/17	$62.79	$28.95
2/1/17	$64.36	$31.76
3/1/17	$64.13	$34.47
4/1/17	$65.81	$35.93
5/1/17	$68.68	$36.28
6/1/17	$70.24	$38.29
7/1/17	$69.33	$36.22
8/1/17	$73.10	$37.28
9/1/17	$74.71	$41.20
10/1/17	$74.71	$38.56
11/1/17	$83.68	$42.47
12/1/17	$83.60	$42.49
1/1/18	$86.13	$42.54
2/1/18	$94.79	$41.79
3/1/18	$93.99	$44.63
4/1/18	$90.47	$41.66
5/1/18	$93.21	$41.60
6/1/18	$99.28	$47.00
7/1/18	$98.10	$45.96
8/1/18	$106.03	$49.78
9/1/18	$110.85	$57.10
10/1/18	$114.75	$56.99
11/1/18	$107.05	$54.76
12/1/18	$113.00	$46.12
1/1/19	$99.55	$38.72
2/1/19	$103.78	$41.74
3/1/19	$112.89	$43.57
4/1/19	$118.95	$47.91
5/1/19	$130.53	$52.47
6/1/19	$123.85	$43.90
7/1/19	$136.63	$50.79
8/1/19	$137.00	$53.47
9/1/19	$136.61	$51.61
10/1/19	$139.66	$56.27
11/1/19	$144.26	$62.38
12/1/19	$151.81	$66.82
1/1/20	$158.78	$74.06
2/1/20	$170.43	$76.07
3/1/20	$165.31	$70.57
4/1/20	$153.00	$61.63
5/1/20	$175.80	$71.56
6/1/20	$182.54	$79.44
7/1/20	$203.14	$91.28
8/1/20	$211.52	$108.20
9/1/20	$225.51	$132.76

Download the historical prices for Apple, Microsoft, and the stock market (choose an index of your preference) for the past 10 years.

1. Calculate returns for the two stocks and the index. If the return data you have is monthly returns, average the monthly returns to get yearly returns.
2. Calculate Beta for Apple and Microsoft, using a characteristic line. Display the data points on a graph and display the characteristic line.
3. Using CAPM, calculate the Expected Return for Apple and Microsoft. Get the relevant market related data, such as the risk-free rate and market return, and describe which rate you are using from the financial markets.
4. Imagine you are supposed to create a portfolio using Apple and Microsoft, using $1,000,000. How much do you need to invest in each stock, so that your portfolio risk is:
   1. equal to market risk.
   2. equal to 1.5 times the market risk.
   3. equal to twice the market risk.
   4. the lowest possible risk with the two stocks you have.
5. Display your calculations using a table to show $ amounts invested in each stock, your total portfolio value, portfolio weights, your final calculation for portfolio beta, and the expected portfolio return using CAPM input you collected for Part (3).

what do you mean by index data?