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Which of the following statements is not correct: 1. With a riskless asset and risky assets, the efficient portfolio opportunity set is a straight line.

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Which of the following statements is not correct: 1. With a riskless asset and risky assets, the efficient portfolio opportunity set is a straight line. II. The separation theorem says that you can determine the optimum portfolio of risky assets for an investor without having to know anything about the investor. III. Cost of equity depends on the financial risk level but not on the business risk level of a firm

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