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Managerial Finance (MBA 5323) Capital Asset Pricing Model (CAPM) Homework #14, 10 points due 11:59 p.m., Thursday 10/19/23 1. Answer the questions below for investments

Managerial Finance (MBA 5323)

Capital Asset Pricing Model (CAPM)

Homework #14, 10 points due 11:59 p.m., Thursday 10/19/23

1. Answer the questions below for investments A to D shown in the table.

Investment Beta

A 0.50

B 1.60

C -0.20

D 0.90

If you believed that the market return would decrease in the near future, which investment would you prefer? Why?

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