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Must post first. Stock ABC has a beta of 1.4 and the standard deviation of its returns is 30%. The market risk premium is 5%

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Must post first. Stock ABC has a beta of 1.4 and the standard deviation of its returns is 30%. The market risk premium is 5% and the risk-free rate is 3%. 1. What is the expected return for the stock? 2. What are the expected return and standard deviation for a portfolio that is equally invested in the stock and the risk-free asset?" 3. If you forecast that next year stock ABC will have return of 10%. Would you buy it? Why or why not? You must start a thread before you can read and reply to other threads

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