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Question 4 20 pts Consider the following information about two stocks and indicate which stock has the most systematic risk. State Probablity Stock A Stock

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Question 4 20 pts Consider the following information about two stocks and indicate which stock has the most systematic risk. State Probablity Stock A Stock B (0.35) Recession 0.15 0.11 Normann Boom 0.55 0.18 0.11 0.30 0.08 0.31 Market risk premium 8.50% Risk-free rate 3.00% Neither stock has any systematic risk Stock B Stock A Both risk are the same

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