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Suppose the risk - free return is 4 % and the market portfolio has an expected return of 1 0 % and a volatility of

Suppose the risk $-$ free return is $4 %$ and the market portfolio has an expected return of $10 %$ and a volatility of $16 % .$ Apple stock

has a $20 %$ volatility and a correlation with the market of $0.06 .$

a $.$ What is Apples beta with respect to the market?

b $.$ Under the CAPM assumptions, what is its expected return?

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