Question 6 (1 point) Jackson's portfolio has a beta of 0.75. The portfolio consists of 5.00% Canadian Government Treasury bills, 30.00% in stock X, and the rest in stock Y. Stock X has a risk-level equivalent to that of the overall market. What is the beta of stock Y? a) 0.00 Ob) 0.69 Oc) 1.00 d) 0.75 e) 1.97 Nuortion 7/1 noint) Question 7 (1 point) Stock Z has an expected return of 13.50% and a beta of 1.04. The risk-free rate is 5.00%. What is the market risk premium? a) 9.6% Ob) 8.2% c) 7.6% d) 10.2% e) 11.6% Question 8 (1 point) Which of the following statements is true? a) The beta of a diversified portfolio will approach zero as the number of stocks in the portfolio is increased. b) The risk premium associated with a stock will decrease as the beta of the stock decreases. c) Treasury bills have a beta of one. Od) A stock with a beta of 1.4 has less systematic risk than a stock with a beta of .9. e) A beta of 1.2 indicates that a security has less risk than the overall market . in . . Dane 2 of 15 You bought 100 shares of 20th Century Fox stock for $30 per share last year. According to today's quote in Globe and Mail, the stock is currently selling for $42 per share. The stock does not pay dividends. The return on your investment in this company is comprised of a) A capital gains return only. Ob) A real return only. c) An income return and a capital gains return. d) A dividend yield only. A e) An income return only