Which of the Following Statements Concerning Beta Are Correct

question 42

Multiple Choice

Which of the following statements concerning beta are correct?
I. Adding stocks with high betas to a portfolio increases the portfolio's risk.
II. The higher the beta, the higher the expected return.
III. A beta can be positive, negative, or equal to zero.
IV. A beta of .35 indicates a lower rate of risk than a beta of -0.50.

• A) II and III only
• B) I and IV only
• C) II, III and IV only
• D) I, II, III and IV

---

Definitions:

Documentation Approach

The method or strategy employed in collecting, maintaining, and archiving records and documents.

Exam and Test Results

The outcomes or findings from various assessments or evaluations, typically used in educational and medical contexts.

Documentation

The act of creating records or documents to provide evidence or information.

Discharge Summary Form

A document that summarizes a patient's hospital stay, including the reason for admission, significant findings, procedures performed, treatment provided, and recommendations at discharge.