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Which one of the following statements is correct? A . Risk premiums are inversely related to the standard deviation of returns. B . The lower

Which one of the following statements is correct? A. Risk premiums are inversely related to the standard deviation of returns. B. The lower the expected rate of return, the wider the distribution of returns. C. Risks and expected returns are positively related. D. The risk-free rate of return has a risk premium of 1.0. E. The reward for bearing risk is called the standard deviation.

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