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6. [5 Points] Suppose that the expected return of stock X is 18.2%. However, based on CAPM, the expected return of stock X should be

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6. [5 Points] Suppose that the expected return of stock X is 18.2%. However, based on CAPM, the expected return of stock X should be 17.5%. Is stock X correctly priced? If not, is stock X overpriced or underpriced? Why

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