If the simple CAPM is valid and all portfolios are priced correctly, which of the situations below is possible? Consider each situation independently, and assume the risk-free rate is 5%. A) Portfolio Expected Return 18% 18% A Beta 0.9 1.0 Market B) Portfolio Market Expected Return 21% 16% Standard Deviation 9% 17% C ) Portfolio A Market Expected Return 21% 16% Beta 0.9 1.0 D) Portfolio A Market Expected Return 27.1% 18% Beta 1.7 1.0 Multiple Choice Option B Option C Option D 0 Option A