Help Save & Exit Submit Consider the following information: State of Economy Probability of State of Economy .04 Recession Normal Boom Rate of Return if State Occurs Stock A Stock B .097 .102 . 114 . 133 . 156 . 148 . 72 .24 The market risk premium is 7.4 percent, and the risk-free rate is 3.1 percent. The beta of Stock A is of Stock B is and the beta Multiple Choice 1.25: 1.41 1.25; 1.89 Prey 1 of 28 Next > Saved Help Exit Submit Multiple Choice 1.25; 1.41 1.25: 1.89 1.47; 1.41 1.47; 1.76 1.21 1.76