If Rp = Fund Return, Rf = the Risk- Free

question 65

True/False

If Rp = fund return, Rf = the risk- free return, Rm = the market return, and Bp = the beta of the fund, then the fund's alpha statistic is defined as Rm - Bp(Rf - Rp).

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Definitions:

Available Balance

The amount of money in an account that is accessible for use.

Float

The time difference between when a check is written and deposited and when it is cleared and funds are available, or, in finance, the amount of shares available for trading by the public in the stock market.

Collection Float

The time period between when a check is written and deposited and when the funds are actually available in the payee's account.