Chapter $11$: Systematic vs Unsystematic Risk

Which of the following is FALSE?

CAPM says the expected return of a stock $=$ beta $*($expected return of market $-$ risk$-$free rate$)$

MINUS the risk$-$free rate

The more companies in a portfolio, the lower the UNsystematic risk $($also called idiosyncratic risk$),$

assuming the stocks are not perfectly positively correlated

If the beta of one stock is $2\mathrm{.}4$ and another stock is $0\mathrm{.}4($like in the slides$),$ the one with the $2\mathrm{.}4$ beta is

assumed to have more risk

You measure the company's exposure to systematic risk with beta