hello,

there are three financial Qs, can you do them?

1.If you compared histograms of large company stock versus small company stock (where the histograms were constructed such that each calendar hour's annual return is a data point), what two difference would you observations 2. Why do you compare capital budgeting project to the weighted average cost of capital instead of the cost of the method of financing used for the specific project? 3.Most finance textbooks say that investors should diversify because the will not be compensated for diversifiable risk. This may wrongly imply that the market has a formal (automatic) reward system for risk. a). How do investors "demand" to be compensated for risk? b). Why aren't investors compensated for diversifiable (unsystematic) risk