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Which of the following is not an assumption of the CAPM? A. Investors will form the same expectations about the average returns, variances and covariance

Which of the following is not an assumption of the CAPM?

A. Investors will form the same expectations about the average returns, variances and covariance of financial assets.

B. Returns on financial assets can de described by two parameters, expected value and standard deviation.

C. There are bid-ask spreads when trading financial securities.

D. Capital gains and incomes from investments are not taxable.

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