The Expected Return-Beta Relationship of the CAPM Is Graphically Represented

question 35

Multiple Choice

The expected return-beta relationship of the CAPM is graphically represented by

• A) the security-market line.
• B) the capital-market line.
• C) the capital-allocation line.
• D) the efficient frontier with a risk-free asset.
• E) the efficient frontier without a risk-free asset.

---

Definitions:

Fuller Explanation

A comprehensive and detailed description or clarification.

Black And White

Thinking or situations characterized by clear, strict distinctions between options, with no acknowledgment of complexity or grey areas.

Infographic

An informative graphic combining statistics, text, color, and visuals.

Quantitative Data

Information that can be measured and written down with numbers.