Nike's common stock has a beta of 0.8 and a required return of 10.6% according to the CAPM. The expected return on the market is 12% Given the information above, what is the risk-free rate? 2% 3% 5% 496 196 QUESTION 2 4 You have decided to include only two stocks in your portfolio: Stock X, which has a beta of 2.1, and Stock Y, which has a beta of 0.6. If you desire that your portfolio have a beta of 1.08, what should the weight of Stock X be? O 0.175 (.e., 17.5%) 0.25 i.e., 25%) O 0.32 (i.e, 32%) 0.58 (ie, 58%) None of the other answer choices are correct