Consider two stocks, A and B. stock A has expected return of 10% and a beta of 1.2. Suppose has an expected of 14% and a beta of 1.5. The expected market of returns is the risk-free is 5%. Security _________ would be considered the better buy because ________ A; it offers an expected excess return of 12% B; t offers an expected excess return of 1.8% A; it offers an expected excess return of 2.2% B; it offers an expected return of 2.4% Using the following plot of SML, answer the following 2 questions: What is the beta for a portfolio with an expected return of 12.5%? 0.0 1.0 1.5 2 What is the expected return for a portfolio with a beta of 5? 5% 7.5% 12.5% Using the following plot of CML, answer the following 2 questions