Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

3 . The CAPM is an: A . equilibrium model that predicts the expected return on a stock given the expected return on the market

3. The CAPM is an:
A. equilibrium model that predicts the expected return on a stock given the expected return on the market and the stocks correlation coefficient
B. equilibrium model that predicts the expected return on a stock given the expected return on the market and the stocks covariance
C. equilibrium model that predicts the expected return on a stock given the expected return on the market and the stocks beta coefficient
D. equilibrium model that predicts the expected return on a stock given the expected return on the market and the stocks standard deviation

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

AI In The Financial Markets

Authors: Federico Cecconi

1st Edition

3031265173, 978-3031265174

More Books

Students also viewed these Finance questions

Question

Comment should this MNE have a global LGBT policy? Why/ why not?

Answered: 1 week ago