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The following information is available in general and about investments in stocks J and K. The market return (kM) = 9% The risk free rate

The following information is available in general and about investments in stocks J and K. The market return (kM) = 9% The risk free rate (kRF) = 5% Stock J's beta = 0.8 Expected constant growth rate for Stock J = 6% Investment in Stock J = $80,000 Stock K's beta = 1.4 Expected constant growth rate for Stock K = 7% Investment in Stock K = $120,000 a. What are the expected returns on Stock J and Stock K individually? b. What is the expected return on the portfolio? c. If Stock K just paid a dividend of $2.50, what is Stock K's intrinsic value

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