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Lets say I came across the following information: Security Beta Expected Return Cooley Inc. 1.4 10% Moyer 1.0 8% If I assume the risk-free rate

Lets say I came across the following information:

Security Beta Expected Return Cooley Inc. 1.4 10% Moyer 1.0 8%

If I assume the risk-free rate is 3%, are the above two stocks correctly priced? Why or why not?

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