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PLEASE DO IT IN EXCEL AND HOW YOU DID IT 1.1 Given the following two stocks X and Y Stock X Y Forecast return 8.5%

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PLEASE DO IT IN EXCEL AND HOW YOU DID IT

1.1 Given the following two stocks X and Y Stock X Y Forecast return 8.5% 10.5% Beta 1.4 The expected market return is 8% and the risk-free rate is 2% a. (10 points) Draw the Security Market Line on an E(1-B diagram. What is the slope of the SML? b. (5 points) Plot stocks X and Y on the graph above. Which security would be considered the better buy and why? Attach File Browse Local Files Browse Content Collection

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