Multiple Choice
Which of the following statements is most correct?
A) The slope of the security market line is beta.
B) The slope of the security market line is the market risk premium, (rM - rRF) .
C) If you double a company's beta its required return more than doubles.
D) Statements a and c are correct.
E) Statements b and c are correct.
Correct Answer:
Verified
Correct Answer:
Verified
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