If you expect the market to earn 870 percent and the


You hold the positions in the table below.

 Assumed

PriceSharesAssumed

Beta   Advanced Micro Devices$14.00  385 4.81   FedEx Corp 134.00  90 1.25   Microsoft 46.00  149 1.16   Sara Lee Corp 24.00  229 1.96   

What is the beta of your portfolio? (Do not round intermediate calculations. Round your final answer to 2 decimal places.)

Portfolio beta    

If you expect the market to earn 8.70 percent and the risk-free rate is 5.70 percent, what is the required return of the portfolio? (Do not round intermediate calculations. Round your final answer to 2 decimal places.)

Required return

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Finance Basics: If you expect the market to earn 870 percent and the
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