11. The risk-free rate of return is 3.6 percent and the market rate of return is 10.5 percent? Which of the following statements are correct? Show Your Work. Stock /Beta/ IRR A /0.85 /9.2% B /1.08/ 11.8% C /1.69/ 15.3% D /0.71 /7.8% E /1.45/ 12.3% a. I would choose to invest in Stocks A and E, because the market is efficient. b. I would choose to invest in Stocks A and C, because the NPV is zero. c. I would choose to invest in Stocks A, D and E, because the NPV is positive. d. I would choose to invest in Stock B, because the NPV is positive. e. I would not choose to invest in either of these stocks.