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The Law of One Price States That

Question 12

Multiple Choice

The law of one price states that:


A) the same financial security,no matter how it is created,should trade at the same price
B) two financial securities that have the same price today and same risk must have the same price in the future
C) two securities that have the same price today must have the same prices at all future dates
D) two securities that have the same standard deviation and expected return must have the same price
E) None of these answers are correct.

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