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In the single-index model (not the CAPM), if two firms have the same amount of firm-specific risk they will always have_________. a. None of the

In the single-index model (not the CAPM), if two firms have the same amount of firm-specific risk they will always have_________.

a. None of the other answers is correct.

b. The same alpha.

c. The same covariance with the market

d. The same variance of their stock returns

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