The Beta for the Market Portfolio Is Closest To

question 55

Multiple Choice

The beta for the market portfolio is closest to:

• A)1.
• B)0.
• C)Unable to answer this question without knowing the market's expected return.
• D)Unable to answer this question without knowing the market's volatility.

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Definitions:

Earth's Land Surface

The solid surface layer of the Earth, as opposed to the ocean or sky; includes continents and islands.

Desert Insects

Insects adapted to survive in desert environments with extreme conditions such as high temperature and low moisture.

Body Covering

The outer protective layer or surface of an organism, such as skin in humans, feathers in birds, or fur in mammals.

Conserving Water

The practice of using water efficiently to reduce unnecessary water usage and protect water resources.