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Because the CML is based on total risk, in a plot of expected return on standard deviation of returns, ... A. Individual stocks will plot

  1. Because the CML is based on total risk, in a plot of expected return on standard deviation of returns, ...

    A.

    Individual stocks will plot above the CML.
    B.

    None of the responses is correct.
    C.

    Individual stocks will plot below the CML.
    D.

    Individual stocks will plot on the CML.
    E.

    Individual stocks could plot above or below the CLM.

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