13. When the portfolio is constructed as follows, what is the beta of the nnrtfolin? A) 1.01 B) 1.20 C) 1.34 D) 1.46 14. (Based on the Q13) The expected return for the market is 14%. The risk-free rate is 4%. The required rate of return for each stock is based on its given beta. Which of the following would be the most appropriate? A) Stock Q is underpriced. B) Stock W is underpriced. C) Stock R is overpriced. D) Stock E is underpriced & Stock R is overpriced. 15. Which one of the following best describes "the stock with an actual return that lies above the security market line (SML)"? A) The stock has more systematic risk than the overall market. B) The stock has yielded a higher return than the expected for the level of risk assumed. C) The stock has been appeared to be overpriced or overvalued. D) In the efficient capital market, the stock moves to the right () until it reaches the SML