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Portfolio x has a weighted beta coefficient of 1 . 5 and Portfolio Y has a weighted beta coefficient of 0 . 8 . Both
Portfolio has a weighted beta coefficient of and Portfolio has a weighted beta coefficient of Both portfolios are expected to earn the same weighted average expected return. With these assumptions, which of the following statements is most accurate? Select one A Portfolio is preferred because it has a higher beta. B Portfolio is preferred because it has a higher standard deviation. C Portfolio is preferred because it has a lower beta. D Portfolio is preferred because it has a lower standard deviation.
Portfolio has a weighted beta coefficient of and Portfolio has a weighted beta coefficient of Both
portfolios are expected to earn the same weighted average expected return. With these assumptions, which of
the following statements is most accurate?
Select one
A Portfolio is preferred because it has a higher beta.
B Portfolio is preferred because it has a higher standard deviation.
C Portfolio is preferred because it has a lower beta.
D Portfolio is preferred because it has a lower standard deviation.
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