A security with a reasonably stable price will have a lower required rate of return than a security with an unstable price.

Name: A security with a reasonably stable price will have a lower required rate of return than a security with an unstable price.
Brand: Quizplus
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Question

Quizplus · Accepted Answer

A security with a more stable price is considered less risky than one with an unstable price. Therefore, investors may demand a lower rate of return for the less risky security.

A Security with a Reasonably Stable Price Will Have a Lower