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A.What is the beta on XYZ if the required return is 14%, the expected return on the market is 12% and the T-bond rate is 5%? (show work)B. If the economy conditions change and beta on XYZ is less than one would you expected return on XYZ to be higher or lower than the expected return on the market? Why? (2 points) A.You determine that the XYZ’s dividend next year will be $6, and the dividend will grow at a rate equal to 8 percent. If XYZ’s Beta is 1.3, the current T-bond rate is 7%, and the return on the market is expected to be 15%, what would you pay for a share of XYZ? (Hint: first apply CAPM to find the XYZ’s return, next apply the constant growth model to determine the current price for share of Apple)B.It turns out that the currently the stock trades for $58. What should you do? Sell or buy? Why? 6.You have a portfolio of 5 stocks. Using the given information, find the portfolio’s expected return and beta. (10 points). I would recommend working the solution in excel. Also, you should show the weight of each stock in the portfolio.Stock$ InvestedExpected ReturnBetaGM2.70.070.8CSCO1.50.121.80DE30.081WY1.20.070.8PG2.50.091.20Suppose the beta coefficient of a stock doubles from to . Logic says that the required rate of return should also double. Is this logic correct? Explain. (Hint CAPM pricing equation for return of a stock.)