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EBK INVESTMENTS
11th Edition
ISBN: 9781259357480
Author: Bodie
Publisher: MCGRAW HILL BOOK COMPANY
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Chapter 13, Problem 1CP
Summary Introduction
To determine: To briefly discuss and identify the criticism of beta.
Introduction:
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Explain the assumptions of Capital Asset Pricing Model.
Identify and briefly discuss three criticisms of beta as used in the capital asset pricing model.
Explain the relationship between JENSEN's alpha and the security marketline of the Capital asset pricing model (CAPM).
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