Everything Else Held Constant,if the Expected Return on ABC Stock

question 83

Multiple Choice

Everything else held constant,if the expected return on ABC stock rises from 5 to 10 percent and the expected return on CBS stock is unchanged,then the expected return of holding CBS stock ________ relative to ABC stock and the demand for CBS stock ________.

• A) rises; rises
• B) rises; falls
• C) falls; rises
• D) falls; falls

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Definitions:

Phobia

an extreme or irrational fear of or aversion to something, significantly impacting an individual's ability to function normally in certain situations.

Psychodynamic Model

A psychological perspective that emphasizes unconscious processes and childhood experiences in shaping behaviors and personalities.

Anxiety

An emotion of anxiety or apprehension regarding an unpredictable result.

Generalized Anxiety Disorder

A chronic disorder characterized by excessive, long-lasting anxiety and worry about nonspecific life events, objects, and situations.