Question: Briefly (four sentences or less) explain why each of the following italicized statements is true, false, or uncertain:
Stock X and Stock Z both sell for $25, and neither company pays a dividend. Stock X has a Beta of 0.75 while Stock Z has a Beta of 1.25. If the market increases by 10% over the next year, it is likely (but not certain) that the price of Stock Z will be greater than the price of Stock X in one year.