If a stocks beta is equal to one

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Reference no: EM13724943

If a stock's beta is equal to one, then

a. the stock's expected rate of return would be equal to the risk-free rate.

b. the stock's expected rate of return would be equal to the expected rate of the market.

c. the stock's expected rate of return would also equal one.

d. the stock's expected rate of return would equal zero.

e. it is impossible for the stock's beta to equal one.

Reference no: EM13724943

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