Match the Term with the Definition

question 52

Multiple Choice

Match the term with the definition.
-Term referring to the 1972 break-in at Democratic party headquarters in Washington,D.C.,by men working for President Nixon's reelection campaign,along with Nixon's efforts to cover it up.The scandal led to Nixon's resignation.

• A)Camp David accords
• B)Economic Recovery Tax Act
• C)Equal Rights Amendment (ERA)
• D)intermediate-range nuclear forces (INF)agreement
• E)Iran-Contra scandal
• F)Iran hostage crisis
• G)National Energy Act of 1978
• H)New (Christian)Right
• I)Panama Canal treaty
• J)Strategic Defense Initiative (SDI)
• K)supply-side economics
• L)Watergate

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Definitions:

Cost of Equity

The return that investors expect for investing in a company's equity, reflecting the risk compared to the risk-free rate of return.

Beta

Beta is a measure of the volatility, or systematic risk, of a security or a portfolio compared to the market as a whole.

Market Risk

The risk of losses in investments due to market-wide phenomena, affecting all investments across the board.

CAPM Approach

A financial model used to determine the expected return on an investment, considering its risk relative to the market using the Capital Asset Pricing Model.