1. You are the manager of a mutual fund and it is time to evaluate the performance bonus of two of your employees Mr. Jeckyll and Mr. Hyde. Following table is the performance of the stocks held by Mr. Jeckyll and Mr. Hyde over the last one year along with the betas of the stocks.

Name	Actual Returns	Beta
Jeckyll	10%	0.5
Hyde	23%	2.7

The market yielded 12% in the last year, and the risk-free rate is 5%.

1. Who gets the higher bonus among the two employees?
2. At what market return would you pay the same bonus to both the employees?