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Which statement is correct based on the CAPM formula: Investors would demand lower returns from stocks having higher beta with the stock market. Investors would
Which statement is correct based on the CAPM formula: Investors would demand lower returns from stocks having higher beta with the stock market. Investors would demand higher returns from stocks paying higher dividends. If beta is zero then investors would demand market risk premium as an expected return on the stock. Investors would demand higher returns from stocks having higher sensitivity to the US stock market
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