The expected return/beta relationship is not used ___________.
A)by regulatory commissions in determining the costs of capital for regulated firms
B)in court rulings to determine discount rates to evaluate claims of lost future incomes
C)to advise clients as to the composition of their portfolios
D)A and C
E)none of the above

Question

Quizplus · Accepted Answer

The expected return/beta relationship is widely used in finance, including by regulatory commissions, in court rulings, and to advise clients on portfolio composition.

The Expected Return/beta Relationship Is Not Used ___________