You own a portfolio equally invested in stock X and stock Y. The market is expected to generate returns of 15% and the risk-free rate is 6% (a) Use the Capital Asset Pricing Model (CAPM) to calculate the required return of stock X and Y respectively. ( 6 marks) (b) Base on your answer in (a), determine whether stock X and stock Y are overvalued, undervalued or correctly valued respectively. Briefly explain. [Word limit: 50 words] (6 marks) (c) If you own a portfolio equally invested in stock X and stock Y, calculate the beta of the portfolio and state the key implication of your portfolio's beta. [word limit: 25 words] (4 marks)