a) What is the other source of income you expect to receive from holding shares, in addition to capital gains realized when you sell? Explain how dividends and capital gains are taxed differently in Australia. [2 marks]

b) What are the two components of total risk? Define systematic risk and unsystematic risk. Explain whether and how these risks are priced by CAPM. [3 marks]

c) Define and briefly explain three forms of market efficiency. Your answers should list the three forms of market efficiency, as well as the type of information each form