The Y-Axis Intercept of the SML Indicates the Required Return

question 70

True/False

The Y-axis intercept of the SML indicates the required return on an individual asset whenever the realized return on an average (b = 1) stock is zero.

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Definitions:

Earlier Decades

Refers to years or periods of time that occurred in the past, often used to describe trends or conditions in history.

More Children

Refers to an increase in the number of offspring produced or being cared for.