Quiz Ch 11 – Factors Affecting Expected Return on a Security
Essentials of Corporate Finance
Ross, Westerfield, and Jordan
10th Edition
Which factor does NOT affect the expected return on security?
Which factor does NOT affect the expected return on security?
Which factor must increase the expected return on individual security according to the capital asset pricing model?
Which accurately represents concepts related to portfolio beta and the security market line?
What is the most fitting example of systematic risk?
What represents an example of systematic risk?
Which announcement is likely to result in an unexpected return?
Which best exemplifies unsystematic risk?
Which option does not define unsystematic risk?
What effect does adding risky security to a fully diversified portfolio have on the portfolio’s beta?
Which term best applies to the 28 percent allocation of Stock A in Susan’s portfolio?