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Suppose Intel stock has a beta of 1.74, whereas Boeing stock has a beta of 0.99. If the risk-free interest rate is 6.5% and the

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Suppose Intel stock has a beta of 1.74, whereas Boeing stock has a beta of 0.99. If the risk-free interest rate is 6.5% and the expected return of the market portfolio is 11.2%, 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 65% Intel stock and 35% Boeing stock? d. What is the expected return of a portfolio that consists of 65% Intel stock and 35% Boeing stock? (There are two ways to solve this.)

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