What Is the Beta of a Portfolio Which Consists of the Following

question 44

Multiple Choice

What is the beta of a portfolio which consists of the following?

• A) 1.01
• B) 1.24
• C) 1.26
• D) 1.29
• E) 1.32

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Definitions:

Price Stability

The economic condition characterized by the absence of significant changes in the average price level of goods and services over time.

Money Supply

The total amount of monetary assets available in an economy at a specific time, including cash, coins, and balances held in bank accounts.

Real Growth

Real growth refers to the expansion in the value of an economy's goods and services after adjusting for inflation, showing the true increase in economic output over time.

Monetarists

Economists of the view that changes in the money supply are major determinants of short-term national production and long-term price stability.