Betas tend to move towards 1.0 with passage of time are classified as__________?
A. Standard betas
B. Varied betas
C. Historical betas
D. Adjusted betas
Financial Management Mcqs
All assets are perfectly divisible and liquid in___________?
All assets are perfectly divisible and liquid in___________?
A. Tax free pricing model
B. Cost free pricing model
C. Capital asset pricing model
D. Stock pricing model
Stock issued by company have higher rate of return because of______________?
Stock issued by company have higher rate of return because of______________?
A. Low market to book ratio
B. High book to market ratio
C. High market to book ratio
D. Low book to market ratio
According to capital asset pricing model assumptions, variances, expected returns and co-variance of all assets are__________?
According to capital asset pricing model assumptions, variances, expected returns and co-variance of all assets are__________?
A. Identical
B. Not identical
C. Fixed
D. Variable
According to capital asset pricing model assumptions, quantities of all assets are______________?
According to capital asset pricing model assumptions, quantities of all assets are______________?
A. Given and fixed
B. Not given and fixed
C. Not given and variable
D. Given and variable
According to capital asset pricing model assumptions, investors will borrow unlimited amount of capital at any given___________?
According to capital asset pricing model assumptions, investors will borrow unlimited amount of capital at any given___________?
A. Identical and fixed returns
B. Risk free rate of interest
C. Fixed rate of interest
D. Risk free expected return
A high portfolio return is subtracted from low portfolio return to calculate_________?
A high portfolio return is subtracted from low portfolio return to calculate_________?
A. HML portfolio
B. R portfolio
C. Subtracted portfolio
In capital market line, risk of efficient portfolio is measured by its____________?
In capital market line, risk of efficient portfolio is measured by its____________?
A. Standard deviation
B. Variance
C. Aggregate risk
D. Ineffective risk
If market value is greater than book value, then investors for future stock are considered as___________________?
If market value is greater than book value, then investors for future stock are considered as___________________?
A. Experienced
B. Inexperienced
C. Pessimistic
D. Optimistic
Stocks which has high book for market ratio are considered as_____________?
Stocks which has high book for market ratio are considered as_____________?
A. More risky
B. Less risky
C. Pessimistic
D. Optimistic