Question: - Instructions Question 14 1 pt Stock A has a beta of 1.1 and constant growth rate of 7%. Stock Bhas a beta of 0.9

- Instructions Question 14 1 pt Stock A has a beta of 1.1 and constant growth rate of 7%. Stock Bhas a beta of 0.9 and constant growth rate of 7%. The market risk premium is 6.0% and the risk-free rate is 6.4%. Assuming the stock market is efficient and the stocks are in equilibrium, which of the following statements is CORRECT? O Stock A must have a higher stock price than Stock B. O Stock B's dividend yield equals its expected dividend growth rate. G Stock A must have a higher dividend yield than Stock B. Stock B must have the higher required return

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