(Answered) Using capm a stock has a beta of 13 and an expected return

Finance

Using CAPM: A stock has a beta of 1.3 and an expected return of 15 percent. A risk free asset currently earns 5.5 percent.

What is the expected return on a portfolio that is equally invested in the two assets?
If a portfolio of the two assets has a beta of .8, what are the portfolio weights?
If a portfolio of the two assets has an expected return of 12 percent, what is its beta?
If a portfolio of the two assets has a beta of 2.60, what are the portfolio weights? How do you interpret the weights for the two assets in this case? Explain.

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