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Which of the following statement is incorrect? Group of answer choices According to the CAPM, the expected return on the market portfolio is equal to

Which of the following statement is incorrect? Group of answer choices

According to the CAPM, the expected return on the market portfolio is equal to the risk free rate plus the market risk premium.

The rate of return that investors require for an investment does not depend on the risk associated with that investment.

Most of the answers are correct except one.

It does not generally make sense to invest all of your money in a single asset because the returns on individual stocks tend to be riskier than returns on indexes.

Beta refers to the measure of systematic risk.

Which of the following statements is correct?

Group of answer choices

The income component of a stock's return considers the change in price of a stock divided by the initial price of the stock.

All the answers are correct.

The rate of return that investors require for an investment does not depend on the risk associated with that investment.

The standard deviation is a measure of total risk.

The standard deviation is a measure of systematic risk.

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