In the table, the stock earned % more/less than it should have according to CAPM....
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In the table, the stock earned % more/less than it should have according to CAPM. a. 0.86% b. 7.00% c. 8.60% d. 5.20% e. 0.52% Total risk is the sum of Select one: a. all of the other answers are correct b. market risk + firm-specific risk c. nonidiosyncratic risk + idiosyncratic risk d. non-diversifiable risk + diversifiable risk e. systematic + unsystematic risk x A stock lies 1% below the SML (security market line). This implies that to move to an equilibrium, the stock should eventually experience a(n) to be correctly price under CAPM. Select one: a. decrease in price and an increase in expected return b. No correct answer given c. increase in price and a decrease in expected return x d. increase in price and an increase in expected return e. decrease in price and a decrease in expected return
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