Question: With given information Shares Price Expected Return Volatity Beta A 10000 50 8% 20% 65% B 5000 100 18% 40% 115% The correlation between Sa

With given information Shares Price Expected Return Volatity Beta A 10000 50 8% 20% 65% B 5000 100 18% 40% 115% The correlation between Sa and SB returns is 0.5. The expected return rate of the market is 12%, the market return volatility is 30%, and the risk-free rate is 2%. Returns of all risky assets follow normal distributions./ According to CAPM, are SA and SB under-valued, over-valued or fair valued
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