This discussion helps you develop the skills to master the following course competencies:

• Apply the theories, models, and practices of finance to the financial management of the firm.

To review how all your activities help you achieve the competencies in the course, and ultimately, your overall program outcomes,

Activity Instruction

Discuss beta and its importance. What type of investors would invest in a high beta stock and a low beta stock? Also, in your textbook, review the Real World case, focusing on "Beta, Beta, Who's Got the Beta?," on page 343. Is beta a useful tool? Why were the beta estimates discussed in the reading different?