Assume that the risk-free rate is 6% and the expected market return is 16%. The expected returns and the betas of the following 4 securities are given below: Stock Exp.return Beta A 16% 1.2 B 22% 1.4 C 14% 0.8 D 11% 0.6 Which security/securities is/are under-priced (i.e., therefore being a good investment)?

a. Stock C

b. Stock B

c. Stocks B and D

d. Stocks C and D

e. Stocks A and B

f. Stocks A and D

g. Stock D

h. Stocks B and C

i. Stock A

j. Stocks A and C