A Stock with a Beta Equal to −1

question 7

True/False

A stock with a beta equal to −1.0 has zero systematic (or market) risk.

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Definitions:

Unethical Business Practices

Business actions that are illegal, immoral, or just outside the bounds of what is considered acceptable behavior in the business realm.

Innocent People

Individuals who are not guilty of a crime or any wrongdoing for which they might be accused.

Critical Thinker

A person who engages in the analysis, synthesis, and evaluation of information gathered from observation, experience, reflection, reasoning, or communication.

Ethical Decision Making

The process of evaluating and choosing among alternatives in a manner consistent with ethical principles.