Final answer:
The Single Market Model (SML) offers numerous advantages, such as economies of scale and increased competition and variety for consumers. It includes the estimation of beta and the market risk premium, and adjusts for risk to help in evaluating investment opportunities. The correct options are b, c, d.
Step-by-step explanation:
The advantages of the Single Market Model (SML) approach are numerous when it comes to business and economics.
The Single Market Model is also known as the Single Market Approach, but it seems there may be some confusion in the question as the traditional financial model is known as the Capital Asset Pricing Model (CAPM), which includes the estimation of beta and the market risk premium.
Relating to the provided options about the Single Market Model (SML), it is not inherently concerned with whether a company pays a dividend (option a). However, it does typically involve estimating beta (option b), as this measures the volatility of a stock or portfolio compared to the market as a whole.
The Single Market Model does adjust for risk (option d), making it instrumental for investors and businesses when evaluating investment opportunities and the potential return based on the associated risk level. The correct options are b, c ,d.