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QUESTION 10 Stock W has a beta of 1.38. Stock X has a beta of 0.93, Stock Y has a beta of 0.17 and stock

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QUESTION 10 Stock W has a beta of 1.38. Stock X has a beta of 0.93, Stock Y has a beta of 0.17 and stock Z has a beta of -0.19. If you have a portfolio which contains equal proportions of these four stocks, what is the portfolio beta (to two decimal places) ? QUESTION 11 A firm's stock has a beta of 1.4, the 30-year treasury yield is 5.4 and the market risk premium is 6.3. Using the Capital Asset Pricing Model (CAPM), what is the firm's required rate of return. % (to two decimal places) QUESTION 12 Over the past 3 years, which of the following investment has provided the smallest average return? Treasury bonds Treasury bills Common stocks Corporate bonds Small company stocks

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