Question 6 Questions #6 to #9 use the following setup A stock has a beta of 1.14 and an expected return of 10.5 percent. A risk-free asset currently earns 2.4 percent (this is essentially the risk-free interest rate). What is the market risk premium? Question 7 What is the expected return on a portfolio that is equally invested in the two assets (i.e. the stock and the risk-free asset)? Question 8 If a portfolio of the two assets has a bea of 0.92, what is the portfolio weight in the stock? O A.60.5% O B.72.8% O C.77.5% O D.80.7% Question 9 If a portfolio of the two assets has an expected return of 8.4 percent, what is its beta