Given an Optimal Risky Portfolio with Expected Return of 13

question 79

Multiple Choice

Given an optimal risky portfolio with expected return of 13% and standard deviation of 26% and a risk free rate of 5%, what is the slope of the best feasible CAL

• A)0.60
• B)0.14
• C)0.08
• D)0.36
• E)0.31

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Definitions:

Market Growth Rate

The pace at which a specific market expands over a given period, often measured as a percentage.

Renewable Energy

Energy sourced from natural processes that are replenished constantly, such as solar, wind, and hydroelectric power.

NAICS Code

A numerical classification system that categorizes businesses into industries based on their activities for the purpose of collecting, analyzing, and publishing statistical data.

Geographic Segmentation

The division of a market into different geographical units such as regions, cities, or countries to tailor marketing efforts.