We suggested that there are three possible interpretations of the small-firm effect: a required return for some

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We suggested that there are three possible interpretations of the small-firm effect: a required return for some unidentified risk factor, a coincidence, or market inefficiency.

Write three brief memos, arguing each point of view.

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Principles of Corporate Finance

ISBN: 978-0072869460

7th edition

Authors: Richard A. Brealey, Stewart C. Myers

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Question Posted: Jun 08, 2011 06:52 AM

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We suggested that there are three possible interpretations of the small-firm effect: a required return for some

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Some key points are as follows a Unidentified Risk Factor From an economic standpoint given the info...View the full answer

Principles of Corporate Finance

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