An example of a depreciable asset is

Related MCQs

• What is the beta of a portfolio that is invested 25 percent in the market portfolio, 25 percent in an asset with twice as much systematic risk as the market portfolio and the rest in a risk-free asset?
• Which of the statements is/are false regarding Arbitrage Pricing Theory (APT)? I. APT assumes that return on any asset can be expressed as a linear function of a set of market factors or indexes. II. The arbitrage price line indicates relation between unsystematic risk and the expected return of an asset. III. While deriving the APT model, APT assumes that the error term can be reduced to zero through appropriate diversification.
• A(n) _____ is a legally documented claim on an asset, while a _____ is an actual, tangible asset which may be seen, felt, held, or collected.
• Investors who completely ignore an asset’s variance and only consider the asset’s expected return are called:
• If an asset’s expected return plots above the security market line, the asset is:
• The market risk premium is 15% and the risk-free rate is 5%. The beta of Asset D is 0.2. What is Asset D’s expected return under the CAPM?
• A liquid asset may
• The net asset value of a mutual fund investing in stock rises with
• The net asset value of a mutual fund investing in stock rises with
• Which of the following statements is true of Insured Asset Allocation?