Cho,Elton,and Gruber Tested the APT by Examining the Number of Factors

Multiple Choice

Cho,Elton,and Gruber tested the APT by examining the number of factors in the return generating process and found that

A) Five factors were required using Roll-Ross procedures.
B) Six factors were present when using historical beta.
C) Fundamental betas indicated a need for three factors.
D) All of the above.
E) None of the above.