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Which of the following statement is CORRECT? The intercept of the security market line is the rate of return that corresponds to the market rate

Which of the following statement is CORRECT?

The intercept of the security market line is the rate of return that corresponds to the market rate of return.

The slope of the security market line equals zero.

The intercept of the security market line is the rate of return that corresponds to the market risk premium.

The slope of the security market line equals the market risk premium.

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