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Suppose Intel stock has a beta of 0 . 9 8 , whereas Boeing stock has a beta of 2 . 2 4 . If

Suppose Intel stock has a beta of 0.98, whereas Boeing stock has a beta of 2.24. If the risk-free interest rate is 3.76% and the expected return of the market portfolio is 14.26%, according to the CAPM,
a. What is the expected return of Intel stock?
b. What is the expected return of Boeing stock?
c. What is the beta of a portfolio that consists of 45% Intel stock and 55% Boeing stock?
d. What is the expected return of a portfolio that consists of 45% Intel stock and 55% Boeing stock? (There are two ways to solve this.)
a. What is the expected return of Intel stock?
The expected retum of Intel stock is %.(Round to two docimal places.)
b. What is the expected return of Boeing stook?
The expected return of Boeing stock is %.(Round to two decimal piaces.)
c. What is the beta of a portfolio that consists of 45% intol stock and 55% Boeing stock?
The beta of the portfolio is (Round to two decimal places.)
d. What is the expected return of a portfolie that consists of 45% intel stocik and 55% Boeing stock? (There are two ways to solve this.)
The expected retum of the partfolie is %.(Reund to twe decimal places.)
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