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The Beta of a Risky Portfolio Cannot Be Less Than

Question 22

Multiple Choice

The beta of a risky portfolio cannot be less than _____ nor greater than ____.


A) 0; 1
B) 1; the market beta
C) the lowest individual beta in the portfolio; market beta
D) the market beta; the highest individual beta in the portfolio
E) the lowest individual beta in the portfolio; the highest individual beta in the portfolio

Correct Answer:

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