Use the Figure for the Question(s)below

question 1

Multiple Choice

Use the figure for the question(s) below.Consider the following graph of the security market line:
-Portfolio "C":

• A)is less risky than the market portfolio.
• B)has a relatively lower expected return than predicted.
• C)is underpriced.
• D)has a negative alpha.

---

Definitions:

Athletic Performance

The level of achievement or competence displayed by an athlete or sports participant in competitive settings.

Obsessive-Compulsive Disorder

A mental disorder characterized by unwanted repetitive thoughts (obsessions) and actions (compulsions).

Antidepressants

Medications prescribed to treat depressive disorders, anxiety disorders, and sometimes chronic pain, by adjusting levels of neurotransmitters in the brain.

Prozac

A brand name for fluoxetine, a selective serotonin reuptake inhibitor (SSRI) used to treat depression, obsessive-compulsive disorder, and several other psychological conditions.