Which of the Following Are the Two Primary Advantages of CAPM

question 68

Multiple Choice

Which of the following are the two primary advantages of CAPM?
I.Simplicity
II.Absence of estimation error
III.Applicability to both dividend and nondividend paying firms
IV.Explicit adjustment for risk

• A)I and II
• B)II and III
• C)I and III
• D)III and IV
• E)I and IV

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Definitions:

Japanese Approach

The Japanese Approach often refers to business or management practices that emphasize consensus-building, quality control, and a strong work ethic, characteristic of Japanese culture.

Change Process

Change Process involves the steps or stages undertaken to move an individual, group, or organization from a current state to a desired future state, encompassing planning, implementation, and consolidation.

Kaizen

Literally, “to become good through change.” The concept of kaizen is one of restructuring and organizing every aspect of a system to ensure optimal efficiency.

Business Productivity

Measures how efficiently a company converts its resources into goods and services, directly impacting profitability and growth.