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σXYZ=0.34σXYZ=0.34 σMrkt=0.16σMrkt=0.16 σXYZ,Mrkt=0.019623σXYZ,Mrkt=0.019623 riskfreerate=0.0250riskfreerate=0.0250 E(RMrkt)=0.1200E(RMrkt)=0.1200 A. What is the ββ (beta) of stock XYZ? B. According...

  • σXYZ=0.34σXYZ=0.34
  • σMrkt=0.16σMrkt=0.16
  • σXYZ,Mrkt=0.019623σXYZ,Mrkt=0.019623
  • riskfreerate=0.0250riskfreerate=0.0250
  • E(RMrkt)=0.1200E(RMrkt)=0.1200

A. What is the ββ (beta) of stock XYZ?

B. According to the CAPM, what is the E(RXYZ)E(RXYZ)?

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A. Beta of stock XYZ

B. According to CAPM, E(RXYZ)

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