Assume the Market Rate of Return Is 12

question 78

Multiple Choice

Assume the market rate of return is 12.5% and the risk-free rate is 3.1%. What will be the change in a stock's rate of return if its beta increases from 1.12 to 1.14?

• A) 0.19%
• B) 0.25%
• C) 1.90%
• D)2.50%

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Definitions:

Referrals

Recommendations made by others, often based on personal experience or satisfaction, that direct someone to a particular service, product, or professional.

Leads

Potential customers or clients who have expressed interest in a product or service, often considered the first step in the sales process.

Norms

Established, accepted behaviors or standards that are considered normal within a specific group, community, or society.

Values

Core principles or standards of behavior that guide decisions, actions, and practices within an organization or individual's life.