Explain intuitively why the certainty equivalent of a cash flow with a negative beta exceeds the cash

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Explain intuitively why the certainty equivalent of a cash flow with a negative beta exceeds the cash flow’s expected value.AppendixLO1

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Financial Markets And Corporate Strategy

ISBN: 9780077119027

1st Edition

Authors: David Hillier, Mark Grinblatt, Sheridan Titman

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