$3.$ Under the Capital Asset Pricing Model $($CAPM$),$ which of the following statements is not true?

A$.$ Investors are compensated for taking additional systematic risk through higher expected returns.

B$.$ A stock$$s exposure to systematic risk is measured by its beta.

C$.$ Astockwithabetaofzeroisexpectedtoearnthesamereturnastherisk$-$freeasset,

$.$

D$.$ The theory of the CAPM only applies to stocks and not to other securities such as

bonds.