Consider the following table, which gives a security analyst's expected return on two stocks for two particular market returns:
What are the betas of the two stocks?(Round your answers to 2 decimal places.)
What is the expected rate of return on each stock if the market return is equally likely to be 8% or 20%?(Round your answers to 2 decimal places.)
If the T-bill rate is 7%, and the market return is equally likely to be 8% or 20%, what are the alphas of the two stocks?(Leave no cells blank - be certain to enter "0" wherever required. Negative values should be indicated by a minus sign. Do not round intermediate calculations. Round your answers to 2 decimal places.)
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