[A] Market risk premium is the additional return over the risk-free rate needed to compensate investors for assuming an average amount of risk
[B] A firm cannot influence its market risk, hence its beta, through changes in the composition of its assets and also through its use of debt
[C] Market risk premium is the additional return over the risk-free rate needed to compensate investors for assuming greater than average amount of risk
[D] An asset’s risk consists of market risk which can be eliminated by diversification