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9. (TCO 7) The capital asset pricing model (CAPM) takes off where the _________ concluded. (Points : 3) security market line capital market line efficient
9. (TCO 7) The capital asset pricing model (CAPM) takes off where the _________ concluded. (Points : 3) security market line capital market line efficient frontier and Markowitz portfolio theory arbitrage pricing theory 10. (TCO 7) Using the formula for the security market line (Formula 21-7), if the risk-free rate (RF) is 5%, the market rate of return (KM) is 12%, and the beta (bi) is .80, compute the anticipated return for stock i (Ki). (Points : 3) 5.6% 10.6% 14.6% 12%
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