Question: (2 MARKS) A single factor model states that a. A security return is linearly affected by nonsystematic risk and one source of systematic risk b.

(2 MARKS) A single factor model states that a. A security

(2 MARKS) A single factor model states that a. A security return is linearly affected by nonsystematic risk and one source of systematic risk b. Return of a security should be independent from the security-specific risk c. all choices above d. a and b e. Security's alpha should be zero

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