Please Solve it Fast ASAp with all requirements

Question 1 Financial asset XYZ pays a single expected cash flow of $100 two years from today. You know the following information about this financial asset and about the market: Risk free rate () is 2%. The expected return of the market portfolio (()) is 6%. The standard deviation of the market portfolio () is 10%. Financial asset XYZ has a standard deviation () of 20%. The beta of asset XYZ () is 1.3. Andy and Bob are two investors in the market. Andy is a well-diversified investor. The beta of Andys portfolio () is 0.8. Bob is a non-diversified investor and wants to invest all his capital in the financial asset XYZ. a. What is the maximal price that Andy will be willing to pay for the financial asset XYZ? ( b. What is the maximal price that Bob will be willing to pay for this asset? c. Assume that the proportion of the XYZ company in the market portfolio is less than 1%. Also assume that 50% of the investors are Andys type, and 50% of the investors are Bobs type. In this case, what will be the price of the financial asset XYZ?

Question 3 Your big brother gave you a gift. The conditions of the gift are as follows: - Your big brother promised you that a year from now he will buy for $10,000 an ETF that tracks the global real estate industry (your big brother always keeps his promises). - Your big brother will sell the ETF three years later (four years from today) and will give you all the money from this sale. His intention is that you will get the money only 4 years from now because he does not trust your judgment at this point in your life (and as we will discover later in this question - he is right). You know the following information: 1) The annual risk free rate is 1.5%. You expect that this risk free rate will stay constant over the next 4 years. 2) The expected annual return on the global real estate industry for the next 4 years is 8%. 3) The expected annual return on the S&P 500 for the next 4 years is 10%. 4) All your assets are invested in a portfolio with a beta of 1.2. Even though you respect your big brothers wishes, you want to use the money now. Therefore, you want to sell his gift, but get the fair price for it. a) What is the value of your bog brothers gift one year from today (at n=1)? b) What is the expected value of the gift 4 years from today (at n=4)? c) What is the minimum price at which you will be willing to sell your big brother's gift today (that is, what is the value of this present today)?