When the Price of a Bond Is ________ the Equilibrium

question 49

Multiple Choice

When the price of a bond is ________ the equilibrium price,there is an excess demand for bonds and price will ________.

• A)above;rise
• B)above;fall
• C)below;fall
• D)below;rise

Calculate the expected return of portfolios and understand the role of beta in portfolio management.

Understand the concepts of the expected rate of return and how to calculate it for individual stocks and portfolios.

Grasp the basics and application of the Capital Asset Pricing Model (CAPM).

Familiarize with the calculation and implications of a stock’s beta in portfolio management.

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