Question 22 Epts Which of the following statement is incorrect? The greater the risk associated with an investment, the higher the return investors expect from it. Most of the answers are correct except one. The income component of return for a common stock comes from the cash dividend a firm pays. Given the historical information in the chapter, the beta of a small stock should be greater than the beta of a corporate bond. Utilizing the fact that values of two or more assets always move in the same direction at the same time in order to increase the risk of a portfolio is called diversification