To date, the results of empirical tests of the Arbitrage Pricing Model have been
A) clearly favourable.
B) clearly unfavourable.
C) mixed.
D) unavailable.
E) biased.

Question

Quizplus · Accepted Answer

Empirical tests of the Arbitrage Pricing Model have shown mixed results. While some studies have supported the model, others have found it to be less accurate in predicting stock returns. Therefore, option C is the best choice.

To Date, the Results of Empirical Tests of the Arbitrage