You are deciding whether to buy Stock A. You estimate Stock A's beta at 0.2 and its expected return at 10.4% over the next year. The risk-free rate is 5% and you estimate the market portfolio's expected return at 10%. You are using the CAPM to decide if the stock's expected return is high enough to compensate you for the risk of holding the stock. Based on the CAPM, should you buy the stock? LO3 The stock's required return is 4.0\%. Yes, you should buy it. The stock's required return is 4.0%. No, you should not buy it. The Stock's required return is 11.2%. Yes, you should buy it. The Stock's required return is 11.2%. No, you should not buy it. Note: Clicking any button other than the Save Answer button will NOT save any changes to your answers