Question: 3. Here is the data for two companies Bindi and Mala. The T-Bill Rate is 4% and the market risk premium is 6% Company Forecasted

 3. Here is the data for two companies Bindi and Mala.

3. Here is the data for two companies Bindi and Mala. The T-Bill Rate is 4% and the market risk premium is 6% Company Forecasted Return SD of Returns Beta Bindi Mala 13% 11% 11% 13% 14 1.2 What would be the fair return for each company and is it considered as underpriced, overpriced or properly priced? (5 Points)

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