The table below shows regression results to estimate alphas and betas of four stocks

Stock		Coefficients	t Stat
A	Intercept Coef Variable 1	0.0300 1.2000	2.6000 5.8000
Stock		Coefficients	t Stat
B	Intercept Coef Variable 1	0.0200 0.9100	1.6400 3.8000
Stock		Coefficients	t Stat
C	Intercept Coef Variable 1	-0.0400 0.8000	-3.1200 4.2232
Stock		Coefficients	t Stat
D	Intercept Coef Variable 1	-0.0100 1.1000	-1.1200 5.4330

1. Which stock has the highest market risk? (0.5pt)
2. Which stock is significantly overpriced according to the CAPM? (0.5pt)

Answer rating: 100% (QA)

The stock with the highest coefficient variable will have the highest market ... View the full answer