Being Socially Responsibility

question 2

Multiple Choice

Being socially responsibility

• A)provides a company with a more positive overall reputation.
• B)has opened doors in local communities.
• C)has enhanced the company's reputation with consumers.
• D)has resulted in cost savings to firms.
• E)all of the above.

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Definitions:

Jensen Portfolio Evaluation Measure

The Jensen Portfolio Evaluation Measure is a performance metric that assesses the return of an investment portfolio while adjusting for risk, comparing it to the expected return of the market with a given risk level.

CAPM

The Capital Asset Pricing Model is a theoretical framework that explains how the expected return on assets, especially stocks, is related to their systematic risk.

Measure of Return

A financial metric used to quantify the performance of an investment by assessing the gain or loss it generates.

Unit of Risk

A Unit of Risk quantifies the exposure to potential loss in an investment, typically measuring the volatility or variability of returns over a specified period.