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According to the information below: An analyst expects a risk-free return of 4.5 percent, a market return of 14.5 percent, and the returns for Stocks

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According to the information below: An analyst expects a risk-free return of 4.5 percent, a market return of 14.5 percent, and the returns for Stocks A and B that are shown in the following table. STOCK INFORMATION Stock Beta A B Analyst's Estimated Return 16% 1.2 0.8 14% stock B is properly valued Stock A is overvalued Stock A in Undervalued Stock B is overvalued

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