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    Your personal opinion is that security X has an expected rate of return of 0.11. It has a beta of 1.5. The risk-free rate is 0.05 and the market expected rate of return is 0.09. According to the CAPM, is this security overpriced, underpriced or fairly priced?

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    Your personal opinion is that security X has an expected rate of return of 0.11. It has a beta of 1.5. The risk-free rate is 0.05 and the market expected rate of return is 0.09. According to the CAPM, is this security overpriced, underpriced or fairly priced?

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    https://brainmass.com/business/capital-asset-pricing-model/personal-opinion-security-expected-rate-return-77787

    Solution Summary

    The expert examines personal opinion for security for an expected rate of return.

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