Which of the following is the correct calculation for the required rate of return under the CAPM? 15. a. beta (market risk premium) b. beta +market risk premium c. risk-free rate + risk premium d. risk-free rate(market risk premium) 16 The is a plot of a. CML... individual stocks and efficient portfolios b. CML... both efficient and inefficient portfolios, only C. d SNL . . . individual securities, inefficient portfolios, and efficient portfolios. 17. If a certain stock has a beta greater than 1.0, it means that the stock's return is more volatile than that of the market portfolio. an investor can eliminate the risk by combining it with another stock that has a negative beta. an investor will earn a higher return on his stock than that on the market portfolio. a. b. c. d. the stock is less risky than the market portfolio