Question: Stock X has a 10% expected return, a beta coefficient of 03. nf.V standard deviation of expected returns. Stock Y has a 12.5% expected return,

Stock X has a 10% expected return, a beta coefficient of

Stock X has a 10% expected return, a beta coefficient of 03. nf.V standard deviation of expected returns. Stock Y has a 12.5% expected return, a ch K-tfiacnt of 1.2, and a 25% standard deviation. The risk-free rate is 6%., and the marKet risk premium is 5% a Calculate each stock's coefficient of variation. Which stock is riskier for a diversified investor? C alculate each stock's required rate of return. On the basis of the two stocks' expected and required returns, which stock

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