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Stock S has an expected return of 9 . 9 % and a beta of 0 . 6 . Stock T has an expected return
Stock has an expected return of and a beta of Stock has an expected return of and a beta of Stock has an expected return of and a beta of Stock has an expected return of and a beta of The market risk premium is and the riskfree rate is Which of the following statements is true?
A Stock is underpriced, Stock is underpriced, Stock is overpriced, Stock is fairly priced.
B Stock is fairly priced, Stock is overpriced, Stock is overpriced, Stock is underpriced.
C Stock is overpriced, Stock T is underpriced, Stock is overpriced, Stock is overpriced.
D Stock is underpriced, Stock is overpriced, Stock is fairly priced, Stock is overpriced.
E Stock is overpriced, Stock is overpriced, Stock is underpriced, Stock is overpriced.
F Stock is fairly priced, Stock is overpriced, Stock is underpriced, Stock is fairly priced.
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