Which of the Following Statements Is False

Which of the following statements is false?

A) One difficulty when trying to estimate beta for a security is that beta depends on the correlation and volatility of the security's and market's realized returns in the past.
B) Having identified the S&P/TSX Composite Index as a market proxy, the next step in calculating the risk premium for a security is to determine the security's beta.
C) Many data sources provide estimates of beta based on historical data.
D) The differences in betas by industry reflect the sensitivity of each industry's profits to the general health of the economy.