Question: Suppose that we are given the following (incomplete) data: 1. Calculate the CAPM 's for assets A and B. 2. According to the CAPM, what

Suppose that we are given the following (incomplete) data: 1. Calculate

Suppose that we are given the following (incomplete) data: 1. Calculate the CAPM 's for assets A and B. 2. According to the CAPM, what are the expected returns of assets A and B? 3. Let's suppose that the expected returns of assets A and B are consistent with the CAPM. Explain why asset A can have a much lower expected return than asset B even though it has a higher volatility

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