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A drawback to the historical approach of estimating an assets expected return is: a. The risk of the firm may have changed over time. b.

A drawback to the historical approach of estimating an asset’s expected return is:

a. The risk of the firm may have changed over time.

b. All of the above are drawbacks to the historical approach.

c. That the range of potential outcomes is often very broad.

d. History always repeats itself.

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