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your broker has advised you that he believes that the stock of brat Inc is going to rise from $20 to $22.15 per share over

your broker has advised you that he believes that the stock of brat Inc is going to rise from $20 to $22.15 per share over the next year. you know that the annual your return and the s&p 500 has been 11.25% and the 90 day t-bill rate has been yielding 4.75% per year over the past 10 years. if beta for brats is 1.25, will you purchase the stock?

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