(a.) The CAPM stated that only market risk should be priced. That means market risk...
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Finance
(a.) The CAPM stated that only market risk should be priced. That means market risk should be used in describing the linear relationship between risk and return. Explain to someone who is not an expert in finance why only market risk should be considered. State the relationship
between total risk, market risk and firm specific risk. Your answer needs to be well structured and clear to someone who is not an expert in finance.
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