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Which of the following statements does not apply to both CAPM and APT pricing models? A)The model is designed to predict prices in the future,
Which of the following statements does not apply to both CAPM and APT pricing models?
A)The model is designed to predict prices in the future, yet beta is estimated from past data B)The assumptions are restrictive C)A market portfolio is necessary D)If the model breaks, investment opportunities bring positive profits
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