When Making a PowerPoint Presentation, You Should Have No More

question 7

Multiple Choice

When making a PowerPoint presentation, you should have no more than four lines with no more than four words of text per line.This is referred to as:

• A)The "four-by-four rule"
• B)The "four-word rule"
• C)The "four-word, four-line rule"
• D)The "rule of four"

Explain the impact of market risk premium changes on the slope and position of the Security Market Line.

Understand the effects of portfolio adjustments on beta and portfolio expected return.

Describe the principles of market efficiency and their relevance to information announcements and stock prices.

Explain the Capital Asset Pricing Model (CAPM) and its components, including beta and risk premium.

---

Definitions:

Monetary Items

Assets and liabilities that are to be received or paid in a fixed or determinable amount of money.

Functional Currency

The main currency used by a business or economy, reflecting the primary economic environment in which it operates.

Shareholders' Equity

The residual interest in the assets of an entity that remains after deducting its liabilities, representing ownership value in the company.

Presentation Currency

The currency in which the financial statements of an entity are presented.