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Imagine a hypothetical economy on Mars, where CAPM perfectly holds. A. What two characteristics do the investors in this economy use to evaluate an investment

Imagine a hypothetical economy on Mars, where CAPM perfectly holds.

A. What two characteristics do the investors in this economy use to evaluate an investment (e.g., stock, or bond)? (2 marks)

B. Does sustainability matter in this economy (Yes or No)? Explain your answer (5 marks).

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