Use the Following Information to Answer the Question(s)below

question 99

Multiple Choice

Use the following information to answer the question(s) below.
Suppose that the market portfolio is equally likely to increase by 24% or decrease by 8%.Security "X" goes up on average by 29% when the market goes up and goes down by 11% when the market goes down.Security "Y" goes down on average by 16% when the market goes up and goes up by 16% when the market goes down.Security "Z" goes up on average by 4% when the market goes up and goes up by 4% when the market goes down.
-The expected return on the market portfolio is closest to:

• A)0%.
• B)4%.
• C)8%.
• D)16%.

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Definitions:

Legitimate Power

The lawful right to make a decision and expect compliance.

MBA

Stands for Master of Business Administration, a postgraduate degree focusing on business management, strategy, finance, and leadership skills.

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A high-ranking executive with decision-making powers within a corporation, often appointed by the board of directors.

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Strategies or methods used within an organizational or governmental context to gain influence, power, or to achieve specific goals.