The ________ of a Security Divided by the Beta of That

question 51

Multiple Choice

The ________ of a security divided by the beta of that security is equal to the slope of the security market line if the security is priced fairly.

• A) real return
• B) actual return
• C) nominal return
• D) risk premium
• E) expected return

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Definitions:

Gas Mileage

A measurement of how many miles a vehicle can travel on a gallon of fuel.

Speed

The rate at which an object covers distance, typically measured in units of distance over time.

Car

A wheeled vehicle used for transporting passengers, which also carries its own engine or motor.

Estimate

An approximate calculation or judgement of the value, number, quantity, or extent of something.