The answer to Capital Asset Pricing Model

10. According to the Capital Asset Pricing Model:

the expected return on a security is negatively and non-linearly related to the security's beta.
the expected return on a security is negatively and linearly related to the security's beta.
the expected return on a security is positively and linearly related to the security's variance.
the expected return on a security is positively and non-linearly related to the security's beta.
the expected return on a security is positively and linearly related to the security's beta.

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The solution explains the correct statement from the alternatives relating to Capital Asset Pricing Model