17. The expected return of the market portfolio is rm=12%, the Std of the return on that portfolio is Om=18% and the return of the risk-free asset is le6%. There are two risky assets in this market with the following parameters: 0.4 Asset The (market) Expected Return 6- The Std of the Return B A 15% 22% 1.5 B 8.4% 20% Assuming that the CAPM model should hold, which of the following statements is correct? a. The market is in equilibrium (CAPM). b. B is overpriced (by the market relative to the CAPM), since it's expected return is lower than the expected return of the market portfolio and it's Std of return is higher than the Std of return of the market portfolio. c. In equilibrium (CAPM), we expect asset A to have a lower price than its current market price. d. In equilibrium (CAPM), we expect asset B to have a higher price than its current market price. e. None of the above