An Increase in Systematic Risk Would Cause A(n) ______________ in Beta

question 13

Multiple Choice

An increase in systematic risk would cause a(n) ______________ in beta and a(n) ______________ in the required rate of return

• A)increase,increase
• B)decrease,increase
• C)increase,decrease
• D)decrese,decrease

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Definitions:

Rent

A periodic payment made by tenants to owners for the use of property or land, or the income derived from the lease of such property.

Resource Market

Markets where the services of the factors of production (such as labour, capital, land) are bought and sold.

Product Market

The marketplace where final goods or services are offered to consumers, businesses, and the government.

Consumer Expenditures

The total spending by consumers on goods and services for personal use.