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You plan to invest in the Kish Hedge Fund, which has total capital of $500 milion invested in five stocks: future market retums is realistict

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You plan to invest in the Kish Hedge Fund, which has total capital of $500 milion invested in five stocks: future market retums is realistict a. What is the equation for the Secunty Market Line (5ML)? (Hint: Fist determine the expected market retum.) 1. n=7.0%+(8.5%)6 11. n=5.aw+(6.5%)bs III. n=5.8%+(8.5%)6 V. n=5.2%+(7.5%)h b. Calculate Kish's required rate of return. Do not round intermediate calculations. Round your answer to two decimal places. % c. Suppose fick Kish, the presicent, receives a proposal from a company seeking new capital. The amount needed to take a postion in the stock is 350 milliok, it has an expected retum of 17 , , and its estimated beta is 1.5, should Kish invest in the new company? The new stock be purchased. Me what expected rate of return ahould koh be indirferent to purchasing the stocke Round vour answer to trro decgmal places

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