Question: Question 6 The expression [E(RM)-Rf] is equal to (choose all that apply - choose 3!): the expected return on the market the slope of the

 Question 6 The expression [E(RM)-Rf] is equal to (choose all that

Question 6 The expression [E(RM)-Rf] is equal to (choose all that apply - choose 3!): the expected return on the market the slope of the SML the Market Risk Premium o the intercept of the SML the reward-to-risk ratio for the market Question 7 If a stock falls above the Security Market Line, that indicates that... it is overpriced it is underpriced the stock price is negative it has a variance that is less than the market's its returns are negatively correlated with the market

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