Which of the Following Statements Is Correct

Which of the following statements is correct?

A) The expected total return of the stock should equal the expected return of other investments available in the market with higher risk.
B) The expected total return of the stock should equal the expected return of other investments available in the market with lower risk.
C) The expected total return of the stock should equal the expected return of other investments available in the market with equivalent risk.
D) The expected total return of the stock should equal the expected return of other investments available in the market with different risk.

Correct Answer:

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