you are a finance executive given the job of discussing attractiveness of two acquisition targets. Pick Microsoft and Verizon 1.) Below are the hypothetical average percentage returns for the two companies Microsoft: 4,2,4,6,2,6,4,7,4,1,4,2,6: Verizon: 5,3,3,7,1,8,2,9,1,6,6,3,8: Market: 4,6,3,7,2,9,4,7,1,3,2,8,2

2.) Find the Standard Deviation of the returns for the two companies 3.) Find the standard deviation for the portfolios of the two companies (with stocks weights being: 70% Microsoft and 30% Verizon) 4.) Calculate Beta for the two companies (As demonstrated in the class: Run a regression or use the formula using covariance of each stock with a market divided by the variance of market) 5.) Which of the companies is more risky in terms of Beta 6.) Which of the companies is more risky in terms of standard deviation? 7.) Does portfolio of the two companies show lower standard deviation than individual stock company standard deviations? 8.) Calculate the expected return using CAPM for each company 9.) What is the beta of the portfolio? 10.) What is the expected return on the portfolio?