Stock x lies below the security market line and stock y


Stock X lies below the Security Market Line and Stock Y lies above Security Market Line. Which of the following is true?

a. You would not want to buy Stock X

b. You are indifferent to buying Stock Y.

c. The market is not in equilibrium.

d. More than one of the answers are correct.

e. None of the answers are correct.

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Finance Basics: Stock x lies below the security market line and stock y
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