Which of the Following Statements Is/are True

question 24

Multiple Choice

Which of the following statements is/are true?

• A)Both APT and CAPM argue that expected excess return must be proportional to the beta(s).
• B)APT and CAPM are the only approaches to measure expected returns in risky assets.
• C)Both CAPM and APT are risk-based models.
• D)Both A and B.
• E)Both A and C.

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Definitions:

Anxious

Feeling anxious or apprehensive, usually regarding a forthcoming event or something that has an unpredictable result.

Well-being

the state of experiencing health, happiness, and prosperity, encompassing physical, mental, and emotional health.

Biopsychosocial Approach

A comprehensive perspective that considers the complex interplay of biological (such as genetics and biochemistry), psychological (including mood, personality, and behavior), and social elements (like culture, family, socioeconomic status, and healthcare) as influencing the outcome of diseases.

Substance Abuse

The harmful or hazardous use of psychoactive substances, including alcohol and illicit drugs, leading to addiction or dependence.