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Two stocks, A and B, possess the following characteristics.
| | beta | standard deviation |
| stock A | 1.25 | 0.18 |
| stock B | 1.20 | 0.19 |
multiple choice
Stock A has the highest expected return because its standard deviation is largest
Stock B has the highest equilibrium return because its beta is largest
Stock B has the highest expected return because its unsystematic risk is largest
Stock A has the highest expected return because its systematic risk is largest
Stock A has the highest expected return because its total risk is largest
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