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The covariance between Stock X and the market is 0.60 and the variance of the market is 0.40. The risk-free rate is 3.25% and the

The covariance between Stock X and the market is 0.60 and the variance of the market is 0.40. The risk-free rate is 3.25% and the expected market risk premium is 7.50%. What is the expected return of Stock X.

A.
7.75%

B.
9.63%

C.
10.75%

D.
13.4%

E.
14.5%

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