Theory presented by the capital asset pricing model

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Based on the theory presented by the Capital Asset Pricing Model, there are three components that comprise the expected return on a risky asset. Define each component and explain what role that particular component plays in determining expected return. Your response should be in the form of a Word or PDF document consisting of 100-300 words. Cite any sources you consult to inform your response.

Reference no: EM132007348

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