Problem 10-28 Portfolio Beta and Required Return (LG10-3)

You hold the positions in the table below.

	Price			Shares			Beta
Advanced Micro Devices	$	20.00			320		4.50
FedEx Corp		136.00			72		1.57
Microsoft		24.00			114		1.20
Sara Lee Corp		32.00			169		.60

What is the beta of your portfolio? (Do not round intermediate calculations and round your final answer to 2 decimal places.)

If you expect the market to earn 15.50 percent and the risk-free rate is 5.50 percent, what is the required return of the portfolio? (Do not round intermediate calculations and round your final answer to 2 decimal places.)