^{Refer to the graph}

question 56

Multiple Choice

^{Refer to the graph. A movement of the Security Market Line from SML}2 ^{to SML}1 ^{and of the highlighted asset from A}2 ^{to A}1 ^{would be caused by}

• A)expansionary monetary policy and arbitrage, respectively.
• B)arbitrage and expansionary monetary policy, respectively.
• C)restrictive monetary policy and arbitrage, respectively.
• D)arbitrage and restrictive monetary policy, respectively.

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Definitions:

Relearning

The process of learning material or skills that were previously learned and then forgotten, often facilitated by recognition of familiar aspects.

Algebra

A branch of mathematics dealing with symbols and the rules for manipulating these symbols; it is a unifying thread of almost all of mathematics.

Fill-In-The-Blank

A type of question or test item where participants must provide missing words or information in a sentence.

Multiple-Choice Questions

A form of assessment where respondents choose the correct answer from a list of possible options provided.