Which of the Following Statements Is False

question 48

Multiple Choice

Which of the following statements is false?

• A) Securities that tend to move more than the market have betas higher than 0.
• B) Securities whose returns tend to move in tandem with the market on average have a beta of 1.
• C) Beta corresponds to the slope of the best fitting line in the plot of the security's excess returns versus the market's excess return.
• D) The statistical technique that identifies the best-fitting line through a set of points is called linear regression.

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Definitions:

Stalkers

Individuals who persistently pursue or follow others in a way that causes fear or distress.

Socially Incompetent

Lacking the skills, abilities, or confidence to interact effectively in social situations, often leading to difficulties in communication and forming relationships.

Self-precipitated Murder

A situation where an individual's actions or behaviors intentionally provoke another person to commit murder against them.

Death Wish

A subconscious or conscious desire for self-destruction or death, often explored in psychological analysis and literature to understand complex human behaviors.