The Average of Beta Values for All Individual Stocks Is

question 39

Multiple Choice

The average of Beta values for all individual stocks is:

• A)Greater than 1.0; most stocks are aggressive
• B)Less than 1.0; most stocks are defensive
• C)Unknown; Betas are continually changing
• D)Exactly 1.0; these stocks represent the market

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Definitions:

Retentive

Describes a feature in control systems that allows the retention of variable values or program states after a stop or power loss.

Magnetic Motor Starter

An electromechanical device that safely starts and stops a motor by controlling the electrical power supplied to the motor.

Full Load Current

The current drawn by an electrical machine, such as a motor or transformer, operating at its rated capacity under designated conditions.

Normally Closed

Normally closed is a term used to describe a configuration of an electrical or mechanical switch in which the default state of the switch is making contact, allowing current flow, until actuated.