Consider the graph with the SML. Which of the following statements is correct? (Hint: use the CAPM-SML required return formula to help answer the question. Use numbers provided in the possible answers in the formula for calculations).

a. The return for Portfolio C will be equal to the market premium minus the risk-free rate.

b. If the return for the market was 12% and the risk-free rate was 3%, then As expected return could not equal 15%.

c. None of the available choices are correct.

d. The beta for Portfolios A, B, and C are all the same as the portfolios are all on the SML.

Consider the graph with the SML. Which of the following statements is correct? (Hint: use the CAPM-SML required return formula to help answer the question. Use numbers provided in the possible answers in the formula for calculations). (SML B-10 O a. The return for Portfolio C will be equal to the market premium minus the risk-free rate. b. If the return for the market was 12% and the risk-free rate was 3%, then A's expected return could not equal 15%. c. None of the available choices are correct. d. The beta for Portfolios A, B, and C are all the same as the portfolios are all on the SML