The Metric System Is a Measurement System That Is

question 31

Multiple Choice

The metric system is a measurement system that is

• A)the official system for all nations of the world.
• B)only used by a few of the nations of the world.
• C)commonly used by U.S. physical scientists.
• D)used exclusively in chemical calculations.

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Definitions:

Expected Risk Premium

The additional return over the risk-free rate that investors demand to compensate for the risk of holding a risky asset.

Systematic Risk Principle

The concept that an investor can reduce the overall risk of an investment portfolio through diversification, except for inherent market risks that cannot be diversified away.

Efficient Markets Hypothesis

The efficient markets hypothesis is an investment theory that states it is impossible to "beat the market" because stock market efficiency causes existing share prices to always incorporate and reflect all relevant information.

Security Market Line

A representation in finance that shows the relationship between risk and return of a market.