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QUESTION 30 If the capital market is in equilibrium A. Investors are satisfied and do not trade B. Investors are satisfied but still trade C.

QUESTION 30

If the capital market is in equilibrium

A. Investors are satisfied and do not trade

B. Investors are satisfied but still trade

C. Some assets might be still available for purchase

D. The market portfolio exhibits a beta of zero

QUESTION 31

The standard deviation of a two-asset portfolio is a linear function of the assets' weights when:

A. The assets have a correlation coefficient less than zero

B. The assets have a correlation coefficient equal to zero

OC. The assets have a correlation coefficient greater than zero

D. The assets have a correlation coefficient equal to one

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