The Coefficient of Determination for Y and M respectively. 12. Briefly explain your answers on all estimated variables. Question 2: (25 points) Carefully employ all the calculated numbers from Q1 above and compute the following variables: 1. The Beta of X and Y respectively. Are X and Y aggressive or Defensive? 2. The Treynor's Index. 3 The Sharpe's Ratio. 4 By allocating weights 45% (for Stock X), and 55% (for Stock Y) calculate the Beta of Portfolio. 5 Calculate the Expected Return using the CML. 6 Calculate the CAPM for X and Y respectively. 7. Draw the SML and CML lines respectively. 8. Construct Confidence intervals by utilizing the following alphas: a) a =0.05 b) a =0.10 c) a =0.01 9. What is the relationship between the T and F distribution? 10. Draw the Normal Distribution Curve and briefly explain its properties. Question 3: (25 points) 106% Question 1: (25 points) Zoom vant (Col Plus Mr. "Cuclos" is a young Business Forecasting Analyst of the "Athena Bank" who holds a Master of Science degree, with specialization in Quantitative Methods from "Al-Baba" University. On or about November 16, 2020, Mr. Cuclos would deliver a lecture for the "Zeus" Business Forecasting Association at the "Banana" Hotel in San Francisco Please assist him to compute the following variables using the Table 1 below. Table 1 Stock X Stock Y Market Returns Returns Returns 25% 23% 34% 28% 29% 31% 27% 34% 38% 34% 25% 32% 39% 31% 27% 18% 22% 22% Assume, that the risk-free rate is 3%. Calculate the following sample variables: 1. Sample Mean Returns 2. Sample Variances of the Returns 3. Sample Standard Deviations. 4. The COV (X, M). 5. The COV (YM). 6. The Correlation Coefficient between X and M. 7. The Correlation coefficient between Y and M. 8. The Coefficient of Variation of Stock X. 9. The Coefficient of Variation of Stock Y. 10. The Coefficient of Determination for X and M respectively