5) The capital asset pricing model (CAPM) assumes that the stock market is dominated by well-diversified investors who are concerned only with market risk. 5) true false 6) Using the "gold standard" of investment criteria, which project should be selected? 6) A) Project B B) Project C C) Project A D) Project D 7) What is the maximum amount a firm should pay for a project that will return $15,000 annually for 5 years if the opportunity cost is 10% ? 7) A) $24,157.65 B) $56,861.80 C) $48,021.19 D) $62,540.10 8) The CAPM states that the expected risk premium on any security equals its beta times the market risk premium. 8) true false