Problem 2 Ashley is curious to know what her portfolio's CAPM-based expected rate of return should be. After doing some research, she determines that the current market values and betas of each of her 5 stocks are as listed below. She is informed by her financial advisor that the risk-free rate is 3% and the market risk premium is 8%. Calculate the expected rate of return on Ashley's portfolio. Stock Market Value Beta $35,000 1.6 $40,000 1.2 $45,000 1.0 $50,000 -0.8 $80,000 0.8