A Stock Has a Beta of 1

question 32

Multiple Choice

A stock has a beta of 1.24,an expected return of 13.68 percent,and lies on the security market line.A risk-free asset is yielding 2.8 percent.You want to create a $6,000 portfolio consisting of Stock A and the risk-free security such that the portfolio beta is 0.65.What rate of return should you expect to earn on your portfolio?

• A)8.50 percent
• B)9.16 percent
• C)9.33 percent
• D)9.41 percent
• E)9.56 percent

Explain how the redemption of stock works and its implications for a corporation.

Identify common skin conditions and their causative factors.

Understand the risk factors and forms of skin cancer.

Recognize benign skin tumors and differentiate them from malignant ones.