Consider two stocks, A and B$.$ Stock A has an expected return of $10\%$

and a beta of $1\mathrm{.}2.$ Stock B has an expected return of $14\%$ and a beta

of $1\mathrm{.}8.$ The expected market rate of return is $9\%$ and the risk$-$free

rate is $5\%.$ Security

would be considered the worse buy

because

A$.$ A; it offers an expected excess return of $\mathrm{.}2\%$

B$.$ A; it offers an expected excess return of $2\mathrm{.}2\%$

C$.$ B; it offers an expected excess return of $1\mathrm{.}8\%$

D$.$ B; it offers an expected return of $2\mathrm{.}4\%$