Modern portfolio theory and the Capital Asset Pricing Model (CAPM) say that we should separate the standard deviation (or variance) of stock returns into a diversifiable component, which we can eliminate by holding a well-diversified portfolio (the market portfolio), and a non-diversifiable or systematic component, which we cannot eliminate. We then use the beta of a stock to measure its systematic risk. According to the CAPM, the stocks BETA and NOT its standard deviation (or variance) is the correct measure of its riskiness. In contrast, the Black-Scholes option pricing formulas use the standard deviation (or variance) of stock returns and ignore the beta of stock returns. Therefore, the Black-Scholes option pricing model is INCONSISTENT with the CAPM. IS THE STATEMENT ABOVE CORRECT? EXPLAIN