1. Your portfolio has a beta of 1.29. The portfolio consists of 17 percent U.S. Treasury bills, 28 percent in stock A, and 55 percent in stock B. Stock A has a risk-level equivalent to that of the overall market. What is the beta of stock B?
1.38
1.84
0.55
1.35
1.10
2. Which type of bond only pays coupon payments if it can do so from the income earned by the firm?
No bond
income bond
readi-cash bond
floater bond
LIBOR-based bond