You are putting together a portfolio made up of four different stocks. However, you are considering two possible weightings:

LOADING...

.

a.What is the beta on each portfolio?

b.Which portfolio is riskier?

c.If the risk-free rate of interest were

4

percent and the market risk premium were

5

percent,

what rate of return would you expect to earn from each of the portfolios?

Question content area bottom

Part 1

a.The beta on the first portfolio is

enter your response here.

(Round to three decimal places.)