If the risk free rate of return (Rf) is 7%, expected return on the market [E(Rm)] is 15%, and the return on stock X is 16%, the beta for the stock X using CAPM is

If the risk free rate of return (Rf) is 7%, expected return on the mar

1.	If the risk free rate of return (Rf) is 7%, expected return on the market [E(Rm)] is 15%, and the return on stock X is 16%, the beta for the stock X using CAPM is
A.	0.85
B.	1.00
C.	1.14
D.	1.26
Answer» D. 1.26