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9.The risk-free rate is 4%. The expected market rate of return is 11%. If you expect stock X with a beta of .8 to offer

9.The risk-free rate is 4%. The expected market rate of return is 11%. If you expect stock X with a beta of .8 to offer a rate of return of 12 percent, then you should __________. a. Buy stock X because it is overpriced B. Buy stock X because it is underpriced c. Sell short stock X because it is overpriced d. Sell short stock X because it is underprice

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