Question
Multifactor models seek to improve the performance of the CAPM model by a. modeling the systematic component of firm returns in greater detail. b. incorporating
Multifactor models seek to improve the performance of the CAPM model by
a. modeling the systematic component of firm returns in greater detail.
b. incorporating firm-specific components into the pricing model.
c. allowing for multiple economic factors to have differential effects.
d. All of the options are correct.
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Corporate Valuation A Guide For Managers And Investors
Authors: Phillip R. Daves, Michael C. Ehrhardt, Ron E. Shrieves
1st Edition
0324274289, 978-0324274288
