Which of the Following Statements Is FALSE

question 49

Multiple Choice

Which of the following statements is FALSE?

• A)Beta measures the sensitivity of a security to market-wide risk factors.
• B)Volatility measures total risk,while beta measures only systematic risk.
• C)The beta is the expected percentage change in the excess return of the market portfolio for a 1% change in the excess return of a security.
• D)Utilities tend to be stable and highly regulated,and thus are insensitive to fluctuations in the overall market.

---

Definitions:

Biological Sciences

The study of all living organisms and their interactions with each other and the environment.

Inheritance

The transmission of genetic material, traits, and sometimes diseases from parents to their offspring.

Altruism

The selfless concern for the well-being of others, often leading to actions that benefit someone else at a personal cost.

Reproductive Success

The passing on of genes to the next generation in a way that they too can pass those genes on.