In Modern Portfolio Theory,an Investor Should Not Be Concerned with Unsystematic

question 62

Multiple Choice

In modern portfolio theory,an investor should not be concerned with unsystematic risk when calculating expected rates of return because:

• A) there is no way to measure unsystematic risk.
• B) unsystematic risks are assumed to be removed by diversification.
• C) unsystematic risks are generally insignificant.
• D) beta includes a portion to compensate for unsystematic risk.

Calculate the needed fixed assets for projected sales growth.

Understand the concept of external financing needed for growth and how to calculate it.

Learn the impact of maintaining constant ratios (debt-equity ratio, dividend payout ratio) on firm growth.

Interpret financial ratios and their implications on firm’s growth and financial health.

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Definitions:

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A professional bond between nurses and their patients, characterized by trust, respect, and commitment to the patient's well-being.

Trusting Relationship

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