Stocks which has lower book for market ratio are considered as__________?
(A) Optimistic
(B) More risky
(C) Less risky
(D) Pessimistic
An unsystematic risk which can be eliminated but market risk is the__________?
(A) Aggregate risk
(B) Remaining risk
(C) Effective risk
(D) Ineffective risk
If book value is greater than market value comparison with investors for future stock are considered as_______________?
(A) Pessimistic
(B) Optimistic
(C) Experienced
(D) Inexperienced
Difference between actual return on stock and predicted return is considered as___________?
(A) Probability error
(B) Actual error
(C) Prediction error
(D) Random error
Stock issued by company have lower rate of return because of___________?
(A) High market to book ratio
(B) Low book to market ratio
(C) Low market to book ratio
(D) High book to market ratio
In capital asset pricing model, assumptions must be followed including________?
(A) No taxes
(B) No transaction costs
(C) Fixed quantities of assets
(D) All of above
Type of relationship exists between an expected return and risk of portfolio is classified as___________?
(A) Non-linear
(B) Linear
(C) Fixed and aggregate
(D) Non-fixed and non-aggregate
A theory which states that assets are traded at price equal to its intrinsic value is classified as___________________?
(A) Efficient money hypothesis
(B) Efficient market hypothesis
(C) Inefficient market hypothesis
(D) Inefficient money hypothesis
In capital asset pricing model, characteristic line is classified as____________?
(A) Regression line
(B) Probability line
(C) Scattered points
(D) Weighted line
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