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Please show and explain work (including formula used) ...

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Finance

Please show and explain work (including formula used) image
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Questions 55 and 56 are based on the following figure. Pour SML 2 Bata 55. According to the figure above, What is the beta for a portfolio with an expected return of 12.5%? B1 C 1.5 D2 56. According to the figure above, what is the expected return for a portfolio with a beta 0.52 A 5% B 7.5% C 12.5% D 15% 46. Consider the single factor APT. Portfolio A has a beta of 1.3 and an expected return of 21%. Portfolio B has a beta of 7 and an expected return of 17%. The risk-free rate of return is 8%. If you wanted to take advantage of an arbitrage opportunity, you should take a short position in portfolio and a long position in portfolio A. A, A B. AB C.B: A D.BB Questions 55 and 56 are based on the following figure. Retur 15% SML 10% 5% 1 2 Beta

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