If the only data available is that the beta of a stock is

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If the only data available is that the beta of a stock is 1.4, what is the likely return on an investment in this stock if the market falls 5%?

A) -6%
B) -5%
C) +5%
D) +6%

What is the expected return on a stock with a beta of 0.8, given a risk free rate of 3.5% and an expected market return of 15.6%?

A) 3.8%
B) 13.2%
C) 15.6%
D) 19.1%

Reference no: EM13355628

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