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According to the CAPM, the beta of a risky asset depends upon:
A. the return expected by investors for holding the risky asset
B. all of the above
C. the risk-free rate and the risky asset's market risk premium
D. covariance between the market portfolio and the risky asset; and the variance of the market portfolio
Answer: D
Explanation:
Explanation
The beta of a risky asset is determined solely by the covariance between the asset and the variance of the market portfolio. Recall that = covariancex, y / variancex, where x is the market portfolio and y is the risky asset. Choice 'c' is the correct answer.

NEW QUESTION: 2
What is License Verification Library (LVL)?
A. A library that verifies the validity of the device purchase.
B. A collection of helper classes that simplify adding licensing to your application.
C. A library that verifies the validity of Android SDK licenses
D. A library that provides information about Android devices hardware info.
Answer: B

NEW QUESTION: 3
Linux管理では、Linuxシステムをルーターとして使用しています。テスト中に、管理者は、構成されたインターフェース間でIPパケットが送信されていないことを発見します。
IPv4ネットワークでこの機能を有効にするコマンドは次のうちどれですか?
A. cat / proc / sys / net / ipv4 / ip_route> 1
B. エコー "1"> / proc / sys / net / ipv4 / ip_net
C. エコー "1"> / proc / sys / net / ipv4 / ip_forward
D. エコー "1"> / proc / sys / net / ipv4 / ip_route
Answer: C


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