The Wind's Speed Generally Increases with Height Above the Earth's

question 19

Multiple Choice

The wind's speed generally increases with height above the earth's surface because

• A) only the lowest layer of air rotates with the earth.
• B) air temperature normally decreases with height.
• C) wind instruments are not accurate at the earth's surface.
• D) friction with the earth's surface slows the air near the ground.
• E) air parcels expand and become less dense as they rise above the surface.

---

Definitions:

CAPM

Capital Asset Pricing Model, a model that describes the relationship between systematic risk and expected return for assets, particularly stocks.

Beta

A measure of a stock's volatility in relation to the overall market; a beta above 1 indicates higher volatility than the market average.

Risk-Free Rate

The return expected from an investment that carries no risk of loss.

Expected Return

The mean value of the probability distribution of possible returns for a specific investment or portfolio.