Multiple Choice
What does it mean when the CAPM is called "robust?"
A) The CAPM requires no assumptions.
B) Even if most of the assumptions of the CAPM are relaxed,most of the conclusions will still hold.
C) The CAPM is based on realistic assumptions.
D) No other model can represent stock returns better than the CAPM.
Correct Answer:
Verified
Correct Answer:
Verified
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