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NEW QUESTION: 1
Without violating the rules of CAPM, which of the following strategies may be undertaken in an attempt to earn a return that's greater than that of the market?
A. Purchase securities whose correlation coefficient with that of the market is greater than one.
B. Short sell securities that have a beta of less than one and purchase the market portfolio.
C. Purchase securities that have a higher standard deviation than that of the market.
Answer: B
Explanation:
Short selling is a form of borrowing . Therefore by borrowing to invest in the market portfolio, you increase the leverage in the portfolio and consequently, its beta. However, according to CAPM, this higher beta should lead to higher expected returns.
NEW QUESTION: 2
Given:
What is the result?
A. Option B
B. Option A
C. Option C
D. Option D
Answer: B
NEW QUESTION: 3
A new product has arrived to your pharmacy. The storage requirements on the label read: Store at 1.5°C -
3.3°C. Where would you store them?
A. Refrigerator
B. Room Temperature
C. Freezer
D. Incubator
Answer: A
NEW QUESTION: 4
Given:
public class DoCompare4 {
public static void main(String[] args) {
String[] table = {"aa", "bb", "cc"};
int ii =0;
do
while (ii < table.length)
System.out.println(ii++);
while (ii < table.length);
}
}
What is the result?
A. Compilation fails
B. 0 1 2
C. 0 1 2 0 1 2 0 1 2
D. 0
Answer: B
Explanation:
table.length is 3. So the do-while loop will run 3 times with ii=0, ii=1 and ii=2.
The second while statement will break the do-loop when ii = 3.
Note:The Java programming language provides ado-whilestatement, which can be expressed as
follows:
do {
statement(s)
} while (expression);
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