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Question 8 ( 1 point) Which of the following statements about residual is FALSE? a) It measures deviation of stock excess return from the SCL.

Question 8 ( 1 point) Which of the following statements about residual is FALSE? a) It measures deviation of stock excess return from the SCL. b) Its expectation is always zero. c) Variance of the residual is a valid measure unsystematic risk. d) It corresponds to the intercept of the SCL

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