Security x has an expected rate of return of 17 and a beta


Security X has an expected rate of return of 17% and a beta of 1.65. The risk-free rate is 4% and the market expected rate of return is 13%. According to the capital asset pricing model, security X has an expected return of ______________%. It is fairly priced, overpriced or underpriced?

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Financial Management: Security x has an expected rate of return of 17 and a beta
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