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Which one of the following represents the amount of compensation an investor should expect to receive for accepting the firm specific risk associated with an

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Which one of the following represents the amount of compensation an investor should expect to receive for accepting the firm specific risk associated with an individual security? 5. a. Zero b. Security beta multiplied by the market risk premium c. d. Market risk premium Risk-free rate of return A portfolio is comprised of 35 securities with varying betas. The lowest beta for an individual security is 54. Given this information, you know that the portfolio beta: 6. will be greater than or equal to .54. b. a. will be less than or equal to .54. c. d. must be less than the market beta. will be between 0 and 1.0. ABC common stock is selling for $47.8 a share and has a dividend yield of 3 percent. What is the dividend amount? 7. a. $1.004 b. $1.434 c. $14.34 d. $0.143

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