Stock as beta is 17 and stock bs beta is 07 which of the, Financial Management

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Stock as beta is 17 and stock bs beta is 07 which of the

Stock A's beta is 1.7 and Stock B's beta is 0.7. Which of the following statements must be true about these securities?

a. Stock B must be a more desirable addition to a portfolio than A.

b. Stock A must be a more desirable addition to a portfolio than B.

c. In equilibrium, the expected return on Stock A should be greater than that on B.

d. In equilibrium, the expected return on Stock B should be greater than that on A.

e. When held in isolation, Stock A risk is greater than that on B

PLEASE, EXPLAIN WHY?

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Financial Management: Stock as beta is 17 and stock bs beta is 07 which of the

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Financial Management: Stock as beta is 17 and stock bs beta is 07 which of the

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