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Question 11 2 pts The risk-free rate is 3% p.a., and the expected return on the market portfolio is 11% p.a. Shares in BOP Corp

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Question 11 2 pts The risk-free rate is 3% p.a., and the expected return on the market portfolio is 11% p.a. Shares in BOP Corp have a beta of 1.2 and an expected return of 13%. Which of the following statements is correct? BOP is overpriced and lies above the security market line BOP is underpriced and lies below the security market line BOP is underpriced and lies above the security market line BOP is overpriced and lies below the security market line BOP is correctly priced and lies on the security market line

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