Stocks a and B Have the Following Data A) Stock a Must Have a Higher Stock Price Than

Stocks A and B have the following data. The market risk premium is 6.0% and the risk-free rate is 6.4%. Assuming the stock market is efficient and the stocks are in equilibrium, which of the following statements is CORRECT? $\begin{array}{lrr}&\underline{\text {A}}& \underline{\text {B}}\\ \text { Beta } & 1.10 & 0.90 \\\text { Constant growth rate } & 7.00 \% & 7.00 \%\end{array}$

A) Stock A must have a higher stock price than Stock B.
B) Stock A must have a higher dividend yield than Stock B.
C) Stock B's dividend yield equals its expected dividend growth rate.
D) Stock B must have the higher required return.
E) Stock B could have the higher expected return.