You have a portfolio with 40% invested in Spirit AeroSystems stock, 40% invested in Cabelas Inc. stock, and 20% invested in the risk-free asset. Spirit has a beta of 2, Cabelas has a beta of 1, and the risk-free asset has a beta of 0. The market risk premium is 7% and the risk-free rate of return is 2%. What is the expected return of your portfolio according to the CAPM? O 10.4% O 6.4% 0 7.0% 8,0% O 11.6% QUESTION 19 Which of the following statements about bonds is TRUE? Statement : Statement II: If the par value is higher than the market price, the bond sells at a premium. If the yield-to-maturity is lower than the coupon rate, the bond sells at a discount. If the yield-to-maturity is higher than the coupon rate, the bond sells at a discount Statement III: Statement I only None of the statements are true Cell