A Proxy Beta Is

question 89

Multiple Choice

A proxy beta is:

• A)the average beta of firms that are only engaged in the proposed new line of business.
• B)the industry average beta that is used in lieu of the firm's beta because the firm has not existed long enough to have a beta calculated.
• C)the beta used when the firm has a great deal of business risk.
• D)None of these answers is correct.

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Definitions:

Preventive Care

Healthcare practices aimed at preventing diseases or conditions rather than treating them once they have developed, including screenings, vaccinations, and lifestyle advice.

Electrocardiography

A medical test that measures the electrical activity of the heart, commonly used to detect heart problems and monitor heart health.

Blood Gas

A test measuring the levels of oxygen, carbon dioxide, and other gases in the blood, often used to assess lung function and blood pH balance.

Right-Sided Paralysis

The loss of muscle function and control on the right side of the body, often resulting from stroke or brain injury.