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Suppose IntelIntel stock has a beta of 1 . 0 4 1 . 0 4 , whereas BoeingBoeing stock has a beta of 2 .

Suppose IntelIntel stock has a beta of 1.041.04, whereas BoeingBoeing stock has a beta of 2.062.06. If the risk-free interest rate is 4.14%4.14% and the expected return of the market portfolio is 13.32%13.32%, according to the CAPM,
a. What is the expected return of IntelIntel stock?
b. What is the expected return of BoeingBoeing stock?
c. What is the beta of a portfolio that consists of 55%55% IntelIntel stock and 45%45% BoeingBoeing stock?
d. What is the expected return of a portfolio that consists of 55%55% IntelIntel stock and 45%45% BoeingBoeing stock?(There are two ways to solve this.)

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