Stock a Has an Expected Return of 12%,a Beta of 1.2,and

question 31

Multiple Choice

Stock A has an expected return of 12%,a beta of 1.2,and a standard deviation of 20%.Stock B also has a beta of 1.2,but its expected return is 10% and its standard deviation is 15%.Portfolio AB has $900,000 invested in Stock A and $300,000 invested in Stock B.The correlation between the two stocks' returns is zero (that is,r_A,B = 0) .Which of the following statements is CORRECT?

• A)Portfolio AB's standard deviation is 17.5%.
• B)The stocks are not in equilibrium based on the CAPM; if A is valued correctly, then B is overvalued.
• C)The stocks are not in equilibrium based on the CAPM; if A is valued correctly, then B is undervalued.
• D)Portfolio AB's expected return is 11.0%.
• E)Portfolio AB's beta is less than 1.2.

Recognize applications of operant conditioning principles in real-life settings.

Differentiate operant conditioning from other forms of learning.

Understand the impact of operant conditioning on the field of psychology and its practical implications.

Understand the concept of price bundling and its application in marketing strategies.

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Definitions:

Orgasm Triggers

Specific physical or psychological stimuli that lead to sexual climax.

Female Orgasmic Disorder

A sexual dysfunction characterized by difficulty reaching orgasm or the inability to achieve orgasm consistently.

Squeeze Technique

A sexual technique intended to delay ejaculation by applying pressure to the penis before climax.

Functionalism

A theoretical perspective that interprets each part of society in terms of how it contributes to the stability of the whole society.