Use the following information to answer questions 7,8,9 and 10 Expected return of stock x E(Rx) = 5% Expected return on stock y E(Ry) = 8% Risk of stock x = 8.5% Risk of stock y = 12% The correlation coefficient between the two stocks=0.2 If there exists a risk-free asset (rf) that earns a 4% annual return. Find the weights of stock x and y in the optimal risky portfolio