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The actual return of the asset is 10% but based on its beta CAPM estimates its required return as 8%. Is the asset overpriced or

The actual return of the asset is 10% but based on its beta CAPM estimates its required return as 8%. Is the asset overpriced or underpriced? Explain your answer. 



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Steps Step 1 of 4 CAPM tells the rate of return which any security should carry so as to valu... blur-text-image

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