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Question 13: What is the difference between Capital Asset Pricing Model (CAPM) and Arbitrage Pricing Theory (APT). Under what conditions should one use one over

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Question 13: What is the difference between Capital Asset Pricing Model (CAPM) and Arbitrage Pricing Theory (APT). Under what conditions should one use one over the other? Question 6: Assume a company invested $50 million in a two year asset paying 10 percent interest per annum and simultaneously issued a $ 50 million one year liability paying 8 percent interest per annum. What would be the impact on the banks net interest income if, at the end of the first year, all interest rates increased by one percent point

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