Stuck X has expected retum, a beta coefficient of 0.5 and 409 standard deviation of expected returns Stock has a 13.0% expected retum, abeta coefficient of 23 and 20 tandard deviation. The risk tree rates 6, and the market risk premium 85% 2. Calculate each stock's coeficient of variation. Do not round intemeiate calculations. Round your answers to two decimal places b. Which stock is risklet for a diversified investor? 1. For diversified investors the relevant risk is measured by beta. Therefore, the stock with the higher beta seisboer, stock Y has the higher beta so it is ke than stod 11. For diversified investors the relevant risk is measured by standard deviation of expected returns. Therefore, the stock with the higher standard deviation of expected 111. ter diverted westors the relevant nok is measured by beta. Therefore, the stock with the lower beta risker Stock X has the lower betu so it is riskier than stock IV. For diversified investors the relevant risk ismered by standard deviation of expected returns. Therefore, the rock with the we standard deviation of expected returns is oor Stock Y has the lower standard deviation sols riskier than Stockx V. for diversified vestors the relevant risk is measured by beta. Therefore, the stock with the higher beth is less risky Stock Y has the higher beta so it is less rinky then Stock X Y Calculate cachored rate ofretum Mound your west on dem 4. Os the basis of the two stocks expected and required returns, which stock would be more attractive to a diversified Inwestory Castate the required to a pertoo that has 13,000 misted in stock and $1,000 wested in stock Y. De rolound intermediate calculators Hound your to two detalles Cek periun increased to which of the two shocks would have the larger increase in its routed retur