Use the Table to Evaluate the Expression $( f \circ g ) ( 6 )$

question 14

Multiple Choice

Use the table to evaluate the expression $( f \circ g ) ( 6 )$ .
$\begin{array}{|c|c|c|c|c|c|c|}\hline x & 1 & 2 & 3 & 4 & 5 & 6 \\\hline f(x) & 3 & 2 & 1 & 0 & 1 & 2 \\\hline g(x) & 6 & 5 & 2 & 3 & 4 & 6 \\\hline\end{array}$

• A) 5
• B) 2
• C) 3
• D) 4
• E) 6

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Definitions:

CAPM

CAPM, or the Capital Asset Pricing Model, is a formula that describes the relationship between the expected return of an investment and market risk.

Expected Inflation

The anticipated rate at which the general level of prices for goods and services will rise over a period of time.

Systematic Risk

The risk inherent to the entire market or market segment, often referred to as market risk.

Alpha

A measure of the active return on an investment, indicating how much a portfolio has outperformed or underperformed relative to a benchmark index.