Which Two of the Following Determine How Sensitive a Security

question 74

Multiple Choice

Which two of the following determine how sensitive a security is relative to movements in the overall market?
I. the standard deviation of the security
II. correlation between the security's return and the market return
III. the volatility of the security relative to the market
IV. the amount of unsystematic risk inherent in the security

• A)I and III only
• B)I and IV only
• C)II and III only
• D)II and IV only
• E)III and IV only

Comprehend the specifics of contractual obligations, risk of loss, and the effects on third parties in goods transactions.

Understand the principles of liability and risk of loss in sales transactions.

Identify and explain the concept of title and good faith purchasing.

Comprehend the purpose and impact of bulk sales law and its provisions.

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Definitions:

Satisfactory Performance

The degree to which a task, responsibility, or duty is completed adequately or meets the expected standards.

Express Condition

A clearly stated, specific condition in a contract that must be met for the performance or continuation of that contract to be required.

Implied Condition

A condition in a contract that is not explicitly stated but is necessary for the performance of the contract.

Written Contract

A legally binding agreement between two or more parties that is put in writing and signed by the parties involved.