Stock X and the "market" had the following returns during the last three years,and the same relative volatility is expected to exist in the future: The riskless rate is r_RF = 8%,and the expected return on the market is 12 percent.If equilibrium exists,what is the expected return on Stock X? A) -4% B) 8% C) 12% D) 14% E) 16%

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The Answer of Stock X and the "market" had the following returns during the last three years,and the same relative volatility is expected to exist in the future: The riskless rate is r_RF = 8%,and the expected return on the market is 12 percent.If equilibrium exists,what is the expected return on Stock X? A) -4% B) 8% C) 12% D) 14% E) 16%

Stock X and the "Market" Had the Following Returns During