<prompt> Mushure mokunge wapindura mubvunzo uyu nemutauro wakafanana: Passage: The model takes into account the assets sensitivity to non-diversifiable risk also known as systematic risk or market risk, often represented by the quantity beta β in the financial industry, as well as the expected return of the market and the expected return of a theoretical risk-free asset. CAPM assumes a particular form of utility functions in which only first and second moments matter, that is risk is measured by variance, for example a quadratic utility or alternatively asset returns whose probability distributions are completely described by the first two moments for example, the normal distribution and zero transaction costs necessary for diversification to get rid of all idiosyncratic risk. Under these conditions, CAPM shows that the cost of equity capital is determined only by beta. Kunyangwe ichikundikana miedzo yakawanda uye miedzo yemazuva ano, zvinotarisirwa kudzoka kwemusika uye kudzoka kunotarisirwa kwechinhu chisina njodzi chakasiyana-siyana.  <response>: njodzi isingaparadzanisike 