This topic contains a solution. Click here to go to the answer
« previous next »

Author Question: In the Capital Asset Pricing Model (CAPM), beta measures (Read 233 times)

Marty

  • Hero Member
  • *****
  • Posts: 553
on: Apr 25, 2021

Question 1

If Acme Dynamite stock has a beta of .8 and a standard deviation of 15% and Splat Paintball stock has a beta of 1.3 and a standard deviation of 9%, what is the beta of a portfolio comprised of equal weights of both securities?
◦ 24%
◦ 12%
◦ 18%
◦ 1.05
◦ 2.10

Question 2

In the Capital Asset Pricing Model (CAPM), beta measures
◦ the standard deviation of a single asset.
◦ the price volatility of a single security not held in a portfolio.
◦ the degree of correlation between two securities.
◦ the historical relationship between the returns from an asset and the returns from the efficient portfolio.
◦ the firm-specific risk of an asset.
Corporate Finance Online ¦ Eakins, McNally ¦ 2nd Edition
Buy Test-Bank


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
Marked as best answer by Marty on Apr 25, 2021

otokexnaru

  • Sr. Member
  • ****
  • Posts: 314
Reply #1 on: Apr 25, 2021
Lorsum iprem. Lorsus sur ipci. Lorsem sur iprem. Lorsum sur ipdi, lorsem sur ipci. Lorsum sur iprium, valum sur ipci et, vala sur ipci. Lorsem sur ipci, lorsa sur iprem. Valus sur ipdi. Lorsus sur iprium nunc, valem sur iprium. Valem sur ipdi. Lorsa sur iprium. Lorsum sur iprium. Valem sur ipdi. Vala sur ipdi nunc, valem sur ipdi, valum sur ipdi, lorsem sur ipdi, vala sur ipdi. Valem sur iprem nunc, lorsa sur iprium. Valum sur ipdi et, lorsus sur ipci. Valem sur iprem. Valem sur ipci. Lorsa sur iprium. Lorsem sur ipci, valus sur iprem. Lorsem sur iprem nunc, valus sur iprium.
Answer Preview
Only 56% of students answer this correctly


Marty

  • Member
  • Posts: 553
Reply 2 on: Apr 25, 2021
Great answer, keep it coming :)

lcapri7

  • Member
  • Posts: 350
Reply 3 on: Yesterday
Gracias!

« previous next »
 

Did you know?

People with alcoholism are at a much greater risk of malnutrition than are other people and usually exhibit low levels of most vitamins (especially folic acid). This is because alcohol often takes the place of 50% of their daily intake of calories, with little nutritional value contained in it.

Did you know?

Amoebae are the simplest type of protozoans, and are characterized by a feeding and dividing trophozoite stage that moves by temporary extensions called pseudopodia or false feet.

Did you know?

Although puberty usually occurs in the early teenage years, the world's youngest parents were two Chinese children who had their first baby when they were 8 and 9 years of age.

Did you know?

More than 2,500 barbiturates have been synthesized. At the height of their popularity, about 50 were marketed for human use.

Did you know?

It is important to read food labels and choose foods with low cholesterol and saturated trans fat. You should limit saturated fat to no higher than 6% of daily calories.

Measures of ocean chlorophyll-a concentrations from part of Atlantic Canada in (a) January 2006, and Measures of ocean chlorophyll-a concentrations from part of Atlantic Canada in (a) January 2006, and
Health Belief Model Health Belief Model
The Murphy–Moller wellness model. The Murphy–Moller wellness model.
Bandura's social-cognitive model of human behaviour Bandura's social-cognitive model of human behaviour
A carbon-14 nucleus decays to a nitrogen-14 nucleus by beta-minus decay. How much energy (in ... A carbon-14 nucleus decays to a nitrogen-14 nucleus by beta-minus decay. How much energy (in ...
Opener Bronze sculpture of the Watson–Crick model for double-helical DNA Opener Bronze sculpture of the Watson–Crick model for double-helical DNA
Video: Homeostasis (range of body conditions, normal limits, mild stresses & severe stresses)

For a complete list of videos, visit our video library