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i jsut need answer no explanation RISK AND RETURN 5) Which of the following is correct? a) We should construct a perfectly-positively correlated stocks' portfolio
i jsut need answer no explanation
RISK AND RETURN 5) Which of the following is correct? a) We should construct a perfectly-positively correlated stocks' portfolio b) the portfolio standard deviation (PSD) of perfectly-positively correlated stocks is zero c) the PSD of perfectly negatively correlated stocks is zero standard deviation may not be used to measure stand-alone risk Which of the following is incorrect? A 1.6 beta means that the stock is 60% more riskier than the market b) a 0.6 beta means that the stock is 40% less riskier than the market c) a 0.7 beta means that the stock is 30% more riskier than the market d) a 2.0 beta means that the stock is double riskier than the market 7) Which of the following is incorrect? Increasing Krf increases the K by the same value increasing KrF may not change MRP c) doubling the beta may not double K d) increasing beta may decrease K e)An investor is indifferent when K^=K f)if KStep by Step Solution
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