Given an Optimal Risky Portfolio with Expected Return of 16

question 72

Multiple Choice

Given an optimal risky portfolio with expected return of 16% and standard deviation of 20% and a risk-free rate of 4%, 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:

Benevolence

A disposition to do good or an act of kindness towards others.

Universalism

The ethical, philosophical, and theological concept that some ideas have universal application or applicability, transcending individual or cultural differences.

Occupational Role

The behavior and expectations associated with a particular job or position within an organization.

Individual Values

Refers to the personal principles or standards of behavior one considers important in life.