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What is true about CAPM? CAPM is dependent on the risk-free rate, beta, and the market risk premium; beta is used as a measure of

What is true about CAPM?

CAPM is dependent on the risk-free rate, beta, and the market risk premium; beta is used as a measure of the amount of risk a firm has

CAPM is dependent on the risk-free rate, beta, and the market risk premium; beta is used as a measure of the amount of liquidity a firm has

CAPM is dependent on a firm's expected dividend yield and its capital gain yield; beta is used as a basis for estimating both of these components

CAPM is dependent on a firm's expected dividend yield and its capital gain yield; beta is used as a basis for estimating a firm's capital gain yield while the firm's historical dividend is used as a basis for estimating a firm's expected dividend yield

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