Tom Noel Holds the Following Portfolio: Tom Plans to Sell

question 31

Multiple Choice

Tom Noel holds the following portfolio: Tom plans to sell Stock A and replace it with Stock E, which has a beta of 0.75. By how much will the portfolio beta change?

• A) -0.190
• B) -0.211
• C) -0.234
• D) -0.260
• E) -0.286

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Definitions:

Primitive Reflexes

Innate responses present from birth in infants, which are automatic and serve protective roles; these reflexes typically disappear as the child grows.

Cortex

The outermost layer of the brain, involved in many high-level functions such as thought, memory, and consciousness.

Glial Cells

Non-neuronal cells in the nervous system that support, protect, and provide sustenance to neurons.

Neurons

Specialized cells within the nervous system that transmit information through electrical and chemical signals.