Betas Answer the questions below for assets A to D shown in the table ! a. What impact would a 11% increase in the market return be expected to have on each assers retum? b. What impact would a 6% decrease in the market return be expected to have on each asset's return? c. If you believed that the market return would increase in the near future, which asset would you prefer? d. If you believed that the market return would decrease in the near future, which asset would you prefer? a. It the market return increased by 11%, the impact to the return of asset As I (Round to one decimal place Enter a positive percentage for an increase and a negative for a decrease in the retum) of the market return increased by 11%, the impact to the return of asset Bis (Round to one decimal place. Enter a positive percentage for an increase and a negative for a decrease in the return) if the market retum increased by 11%, the impact to the return of assets % (round to one decimal place Enter a positive percentage for an increase and a negative for a decrease in the return) of the market return increased by 11%, the impact to the return of asset D is % (Round to one decimal place Enter a positive percentage for an increase and a negative for a decrease in the return) b. If the market return decreased by 6%, the impact to the return of asset As % (Round to one decimal place Enter a positive percentage for an increase and a negative for a decrease in the return.) it the market retum decreased by 6%, the impact to the return of asset B is % (Round to one decimal piace Enter a positive pdicentage for an increase and a negative for a decrease in the return.) if the market return decreased by 6%, the impact to the return of asset cis 0% (Round to one decimal place Enter a positive percentage for an increase and a negative for a decrease in the return.) of the market return decreased by 6%, the impact to the return of asset Diss. (Round to one decimal place. Enter a positive percentage for an increase and a negative for a decrease in the return) c. If you were certain that the market return would increase in the near future, which asset would you prefer? (Select the best answer below) A Asset D B. Asset A Click to select your answer(s). Betas Answer the questions below for assets A to shown in the table a. What impact would a 11% increase in the market return be expected to have on each asset's return? b. What impact would a 6% decrease in the market retum be expected to have on each asset's return? c. If you believed that the market return would increase in the near future, which asset would you prefer? d. If you believed that the market retum would decrease in the near future, which asset would you prefer? b. In the market return decreased by 6%, the impact to the return of asset AL1% (Round to one decimal place Enter a positive percentage for an increase and a negative for a decrease in the return) if the market retum decreased by 6%, the impact to the return of asset B 15 % (Round to one decimal pace Enter a positive percentage for an increase and a negative for a decrease in the retum) if the market return decreased by 6%, the impact to the return of asset c is 1% (Round to one decimat place. Enter a positive percentage for an increase and a negative for a decrease in the retum) if the market return decreased by 6%, the impact to the return of asset Dis 0% (Round to one decimal place. Enter a positive percentage for an increase and a negative for a decrease in the return.) c. If you were certain that the market return would increase in the near future, which asset would you prefer? (Select the best answer below) O A. Asset OB Asset A C. Asset C OD. Asset B d. If you were certain that the market return would decrease in the near future, which asset would you prefer? (Select the best answer below) A. Asset B OB. Asset D O C. Asset O D. Asset A Click to select your answer(s) er the questions below for assets A to D shown in the table: ct would a 11% increase in the market retum be expected to have on each asset's return? ct would a 6% decrease in the market return be expected to have on each asset's return? ved that the market return would increase in the near future, which asset would you prefer? ved that the market return would decrease in the near future which asset would you prefer? et return decreased by 6%, the impact to the return of asset Ais Lu%. (Round to one decimal place. Enter a positive percentage for an a decrease in the return.) etum decreased by 6% the impact to the return of asset Bis decrease in the return 0 Data Table eturn decreased by 6% decrease in the retum 1% (Round to one decimal place. Enter a positive percentage for an inc x ercentage for an inc eturn decreased by 694 decrease in the return (Click on the icon located on the top-right corner of the data table below in order to copy its contents into a spreadsheet.) ercentage for an inc certain that the marke wer below.) Asset B Beta 0.3 1.3 0.5 0.7 D B Print Done certain that the marke kwer below.) D C
