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Please give an answers that 82 to 89. An investment portfolio has a 30% chance of earning $125,000 in a year, a 40% chance of
Please give an answers that 82 to 89.
An investment portfolio has a 30% chance of earning $125,000 in a year, a 40% chance of earning $50,000, a 15% chance of earning nothing and 15% chance of losing $20,000. What is its expected return? $54, 500 $50,000 $62,000 $38, 750 What factors should be considered when weighting an investment portfolio? The specific risks of the individual securities. The investor's risk tolerance. The time frame off the investment. All of these answers. A relatively new tech company issues a bond that is publicly traded. The company is based in the US and pays interest in dollars. The potential investor lives in the UK. Which of the following risks does the investor face if he buys the bond? Foreign investment risk. Market risk. Credit risk. All of these answers. The most common measure of risk in finance is the: Expected Deviation Expected Outcome Standard Deviation Standard Outcome Under the capital asset pricing model (CAPM), what beta value is considered risky? None of these A beta equal to 0 A beta above 1 A beta between 0 and 1 Which of the following accurately describes unsystemic risk? A company losing a lawsuit which creates a massive legal liability is an example of unsystemic risk. Unsystemic risk is correlated to investing in only one company or security. Unsystemic risk can be diversified away. All of these answers. Which of the following statements accurately describes systemic risk? By diversifying your stock portfolio, you can minimize systemic risk. An example of a systemic risk is if you own stock in a company that has liquidity problems. Systemic risk is what provides a stock its "risk premium". All of these answers. A stock has a beta of 0.75 in relation to the Dow Jones Industrial Index. Today, the Dow Jones increased by 2%. Based on its beta, predict what happened to the stock's price. The stock's price increased by 2%. The stock's price decreased by less than 2%. The stock's price increased by less than 2%. The stock's price increased by more than 2%Step by Step Solution
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