19.

Assume that the risk-free rate is 6% and the market risk premium is 5%. Given this information, which of the following statements is CORRECT? a. A mutual fund with beta = 1.2 should have a required retur greater than 11% O b. If a stock's beta doubles, its required return must also double. Oc Ifa stock has a negative beta, its required return must also be negative Od. A mutual fund with beta-1.2 should have a required retum less than 11% Oe. A mutual fund with beta-1.2 should have a required retum of 11%