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4. Draw the security market line (SML) on the XY-coordinate plane. The horizontal axis ( X-axis) and the vertical axis ( Y-axis) indicate the asset's

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4. Draw the security market line (SML) on the XY-coordinate plane. The horizontal axis ( X-axis) and the vertical axis ( Y-axis) indicate the asset's beta and the expected return, respectively. At what point is the Y-intercept (= the intersection with Y-axis)? A) 0 B) 1 C) Market risk premium D) Risk-free return

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