Which of the Following Statements Is FALSE

question 78

Multiple Choice

Which of the following statements is FALSE?

• A)Short-term margin loans from a broker are often 1% to 2% lower than the rates paid on short-term Treasury securities.
• B)In the real world,investors have different information and expectations regarding securities.
• C)The SML is still valid when interest rates differ.
• D)When borrowing and lending occur at different rates there are different tangent portfolios identified.