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Stock Q has a beta of 0 . 5 5 and Stock T has a beta of 1 . 2 0 . Which of the

Stock Q has a beta of 0.55 and Stock T has a beta of 1.20. Which of the following statements must be true about these securities?(Assume the market is in equilibrium.)
a. Stock Q would always be a more desirable addition to a portfolio than Stock T.
b. The required return on Stock Q and Stock T will be the same.
c. When held in isolation, Stock T has more risk than Stock Q.
d. Stock T would always be a more desirable addition to a portfolio than Stock Q.
e. The required return on Stock T will be greater than that on Stock Q.

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