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You have developed the following data on three stocks: If you are a risk minimizer, you should choose Stock if it is to be held

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You have developed the following data on three stocks: If you are a risk minimizer, you should choose Stock if it is to be held in isolation and Stock if it is to be held as part of a well-diversified portfolio. A;B B;A C; A A;A C;B Given the following information, determine which beta coefficient for Stock A is consistent with equilibrium: rA=13%;rRF=4%;rM=13% 1.10 1.50 1.35 0.80 0.625 1.26

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