If Asset A's Return Is Exactly Two Times Asset B's

question 100

Multiple Choice

If asset A's return is exactly two times asset B's return, then following risk return tradeoff, the standard deviation of asset A should be ________ times the standard deviation of asset B.

• A) 3
• B) 2
• C) 1
• D) 4

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Definitions:

Office Space

Refers to the premises where commercial and administrative work is conducted, often leased or bought by businesses.

Employees

Individuals hired by a business or organization to perform specific duties in exchange for compensation.

Rent

A periodic fee paid for the use of property or land.

Opportunity Cost

The foregone benefit that would have been derived from an option not chosen.