The investment portfolio of Mapeni Limited consists of shares in five companies operating in different industries.

Company	Amount Invested (Sh. million)	Stock beta Coefficient
A Ltd. B Ltd. C Ltd. D Ltd. E Ltd.	160 120 80 80 60	0.5 2.0 4.0 1.0 3.0

The risk free rate (R_f) is 8%. The market returns have the following probability distribution for the next period.

Market return %	Probability
10 12 13 16 17	0.1 0.2 0.4 0.2 0.1

Required:

Compute the expected return from the market (R_m). (2 marks)

Calculate the beta coefficient for the portfolio (_p). (4 marks)

Determine the equation for the security market line. (4 marks