The Stock of the Goldy Corporation Has a Beta of -0.25

question 46

Multiple Choice

The stock of the Goldy Corporation has a beta of -0.25. If the expected return on the market decreases by 4%, then the expected return on Goldy should

• A)decrease by 1%.
• B)increase by 1%.
• C)decrease by 1.6%.
• D)increase by 1.6%.

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Definitions:

Biological Influences

Involves factors like genetics, brain chemistry, and physiological mechanisms that significantly impact an individual's behavior and mental processes.

Academic Psychologists

Professionals specialized in the study of mind and behavior who typically work in universities or research settings.

Blank Slate

The theory that individuals are born without built-in mental content and that all knowledge comes from experience or perception.

Biological Functioning

Refers to the physical and biochemical processes that occur within living organisms to maintain life.