1. You estimate the betas of portfolios A and B are 1.05 and 1.22 respectively in a single-index model. If their covariance is 0.010, find the standard deviation of the index. (In decimal, 4 decimal places)
2. The risk-free rate and the expected market rate of return are 0.049 and 0.084, respectively. According to the capital asset pricing model (CAPM), the expected rate of return on security X with a beta of 0.983 is: (In decimal, 4 decimal places)
3. Asset A has expected return of 0.149 and standard deviation of 0.155. Asset B has expected return of 0.114 and standard deviation of 0.099. If their correlation coefficient is -1, the risk-free rate is: (in decimal, 4 decimal places)