According to the Island Equilibrium Model, Species Richness Would Be

question 19

Multiple Choice

According to the island equilibrium model, species richness would be lowest on an island that is ________.

• A) large and close to a mainland
• B) large and remote
• C) small and remote
• D) small and close to a mainland

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Definitions:

Security Market Line

A graphical representation that shows the expected return of assets as a function of their systemic risk, represented by beta.

Risk-Free Rate

The return on investment with no risk of financial loss.

Market Risk Premium

The excess return that investors require for choosing to purchase stocks over risk-free securities.

SML Slope

The slope of the Security Market Line, which represents the risk-return trade-off at any given time, illustrating the expected return of a security per unit of risk.