Question
The capital asset pricing model (CAPM) suggest that, the
cost of equity is a trade-off between :Solution
Unsystematic risk is the risk related to a particular company and this type of risk which can be eliminated by the investor through diversification of its investment, However systematic risk is market risk which includes Interest rate change, Inflation, Policy change etc. and is un-diversifiable and is measured through the Beta of the stock in the CAPM model. An investor undertakes risk by investing in the stock of a company in expectation of higher return. Higher risk is associated with greater probability of higher return and lower risk with a greater probability of smaller return. This trade-off is assumed by CAPM model also in the cost of equity.
The formula of gypsum is:
Pollination by insects is called :
Which among the following crops is classified as a photo-insensitive plant and hence can be grown in varying photoperiods?
Which form of DNA helix is predominantly present in cell?
Which of the following statement about Pteridophytes is incorrect ?
Match List I with List II :
Choose the correct answer...
The deterioration or loss of the productive capacity of the soils due to various reasons like human activity is called as ____
Which connective tissue also act as energy source?
Which one of the following is not a biological control agent:
Milch breeds are mainly rared for milk , An example of a milch breed of cattle is: