The appropriate measure for risk according to the capital asset ...

[ishan]

The appropriate measure for risk according to the capital asset pricing model is
 
  A) the standard deviation of a firm's stock returns.
  B) the standard deviation of a firm's cash flows.
  C) alpha.
  D) beta.

Question 2

Given a discount rate of 0, which of the following has the greatest present value? ONE, a series of 10 equal annual end-of-the cash flows of 100 each, TWO, just like ONE except the first 5 cash flows are only 50 but the last 5 cash flows are 150
 
  , or THREE, just like ONE except the 10 100 cash flows are at the beginning of the period.
  A) ONE
  B) TWO
  C) THREE
  D) The choices all have equal present values.

[kxciann]

Answer to Question 1

D

Answer to Question 2

D

[ishan]

Thank you

[kxciann]

No problemo