Question
According to the capital-asset pricing model (CAPM), a
security's required return is equal to the risk-free rate plus a premium. This premium is _____Solution
Answer: D The Capital Asset Pricing Model (CAPM) is a model that describes the relationship between the expected return and risk of investing in a security. It shows that the expected return on a security is equal to the risk-free return plus a risk premium, which is based on the beta of that security which is a measure of the systematic risk of that security . The CAPM formula is: ra = rrf + Ba (rm-rrf) where: rrf = the rate of return for a risk-free security rm = the broad market 's expected rate of return Ba = beta of the asset / Systematic risk or volatility of the stock
As per Section 17 A of the Mines and Minerals (Development and Regulation) Act, 1957, when can the Central government reserve any area for mining?
Who has the power to suspend the operation of the Banking Regulation Act, 1949?
What does the term "product" include according to the definition provided "under the Consumer Protection Act" ?
Which of the following is the mandate of Section 27 of the Act______.
As per the Indian Penal Code (IPC), attempt to wage war against the state is punishable _________
Which section of the Insurance Act delas with the provision of alterations in the particulars furnished with application for registration to be reported?
If at any time the Central Government is of opinion that Board unable to perform its functions, it may by notification, supersede the Board for such per...
All witnesses are competent to testify some situations as mentioned under s.____.
Opinion on relationship:
Whoever with intent to cause, or knowing that he is likely to cause, wrongful loss or damage to the public or to any person, causes the destruction of a...
Relevant for Exams:
