Suppose the market portfolio has an expected return of 10% and a standard deviation of 25%, while Proctor and Gamble (PG) stock has a volatility of 15%. (Volatility-standard deviation of returns) 3. a) Given its lower volatility, should we expect PG to have an equity cost of capital that is lower than 10%? Explain briefly (short answer, no computations needed) b) What would have to be true for PG equity cost of capital to be equal to 10%