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Which best describes the correlation between systematic and nonsystematic risk (i.e., the market component of the firms risk and the firm-specific component)? a. The correlation

Which best describes the correlation between systematic and nonsystematic risk (i.e., the market component of the firms risk and the firm-specific component)?

a. The correlation is exactly 1.0

b. The correlation is a positive number between 0 and 1

c. The correlation is a negative number between -1 and 0

d. The correlation is exactly 0

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