Stock A has a beta of 1.2 and Stock B has a beta of 1.5. Which of the following statements must be true about these securities? (Assume the market is in equilibrium.) Here is a blank spreadsheet you can use for the calculation problems on the exam: blank worksheet fox exam.xlsx OA. When held in isolation, Stock A has more risk than Stock B. B. Stock B would be a more desirable addition to a portfolio than Stock A. C. Stock A would be a more desirable addition to a portfolio than Stock B. O D. The required return on Stock A will be greater than that on Stock B. OE. The required return on Stock B will be greater than that on Stock A.

Stock A has a beta of 1.2 and Stock B has a beta of 1.5 . Which of the following statements must be true about these securities? (Assume the market is in equilibrium.) Here is a blank spreadsheer you can use tor the calculation problems on the exam: blank worksheot for exam xlsx A. When held in isolation, Stock A has more risk than Stock B. B. Stock B would be a more desirable addition to a portfolio than Stock A. C Stock A would be a more desirable addition to a portlolio than Stock B. D. The required return on Stock A will be greater than that on Stock B. E. The required retum on Stock B will be greater than that on Stock A