The risk that is assumed to be rewarded for an individual stock under the capital asset pricing model is measured by the:
A) portfolio standard deviation.
B) portfolio beta.
C) individual stock's standard deviation.
D) individual stock's beta.
Correct Answer:
Verified
Q55: The capital market line (CML) as defined
Q56: The standard deviation of a risk-free asset
Q57: Countercyclical investments are more likely to have:
A)high
Q58: Systematic risk is rewarded with a premium
Q59: The capital market line can be used
Q60: Which of the following are assumptions of
Q61: Using the formula for the capital market
Q62: Using the formula for the security market
Q64: An investment has the following range
Q65: A stock with a beta of 1.9
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