Suppose that many stocks are traded in the market and that it is possible to borrow at the risk-free rate, 14. The characteristics of two of the stocks are as follows: Stock Expected Return Standard Deviation 55% 453 10 Correlation = -1 a. Calculate the expected rate of return on this risk-free portfolio? (Hint: Can a particular stock portfolio be substituted for the risk-free asset? (Round your answer to 2 decimal places.) Rate of return b. Could the equilibrium rybe greater than 725%? Yes No