Question: which statement about security market line is false? a) beta of stocks should always be latger than 1 because individual firms are riskier than market

which statement about security market line is false?

a) beta of stocks should always be latger than 1 because individual firms are riskier than market

b) estimated beta is reliable measure of risk isf it has low standarf error

c) when evaluating a project with the same risk as the firms average project, we should use the firms expected return on equity and debt to estimate its cost of capital

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