Asset Expected Return Beta
Stock A 9% 0.9
Stock B 11% 1.4
Risk-Free Asset 5%
Consider the assets outlined in the table above. Which asset offers the best risk-return trade-off?
A) Stock A
B) Stock B
C) The risk-free asset
D) Either Stock A or Stock B as both have the same risk-return trade-off
A
You might also like to view...
When announcing negative organizational news, how should the writer determine the correct format of the message?
A) The organization should develop boilerplate messages for a variety of scenarios and then choose the most appropriate. B) The organization should determine which format best matches the specific situation. C) The organization should use a plan that is fair and consistent. D) The organization should present the information in the most positive way possible. E) The organization should determine what information can be safely kept from public consumption.
In a university database, the student table, with student ID as a primary key, is linked to the university department table through its primary key-department ID. In the student table, department ID is a ________
A) foreign key B) primary key C) complex key D) functional key