The Following Returns Were Earned Last Year: Fund A,10%,Fund B,24%,the

question 44

True/False

The following returns were earned last year: Fund A,10%,Fund B,24%,the overall market,14%.Fund A's beta was 0.8 while Fund B's was 2.0.Therefore,the best investment was the overall market.

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Definitions:

Net Profit Margin Percentage

This is a financial metric that represents the percentage of revenue that remains as profit after all operating expenses, interest, taxes, and preferred stock dividends have been deducted from a company's total revenue.

Cost of Goods Sold Percentage

A ratio that compares the cost of goods sold to the total sales revenue, indicating the efficiency of production and pricing.

Asset Turnover Ratios

Ratios that capture how efficiently a company uses its assets.

Solvency Ratios

Ratios that measure a company’s ability to meet its long-term obligations.