Question: Suppose you observe the following situation: Assume these securities are correctly priced. Based on the CAPM, what is the expected return on the market? What

Suppose you observe the following situation:

Suppose you observe the following situation

Assume these securities are correctly priced. Based on the CAPM, what is the expected return on the market? What is the risk-freerate?

Security Oxy Co. More-On Co. Beta 1.15 80 Expected Return 13.4

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