罗斯公司理财题库全集4.doc

Chapter 11 Return and Risk: The Capital Asset Pricing Model ? Multiple Choice Questions? 1.?A portfolio is:?A.?a group of assets, such as stocks and bonds, held as a collective unit by an investor.B.?the expected return on a risky asset.C.?the expected return on a collection of risky assets.D.?the variance of returns for a risky asset.E.?the standard deviation of returns for a collection of risky assets. ? 2.?The percentage of a portfolios total value invested in a particular asset is called that assets:?A.?portfolio return.B.?portfolio weight.C.?portfolio risk.D.?rate of return.E.?investment value. ? 3.?Risk that affects a large number of assets, each to a greater or lesser degree, is called _____ risk.?A.?idiosyncraticB.?diversifiableC.?systematicD.?asset-specificE.?total ? 4.?Risk that affects at most a small number of assets is called _____ risk.?A.?portfolioB.?undiversifiableC.?marketD.?unsystematicE.?total ? 5.?The principle of diversification tells us that:?A.?concentrating an investment in two or three large stocks will eliminate all of your risk.B.?concentrating an investment in three companies all within the same industry will greatly reduce your overall risk.C.?spreading an investment across five diverse companies will not lower your overall risk at all.D.?spreading an investment across many diverse assets will eliminate all of the risk.E.?spreading an investment across many diverse assets will eliminate some of the risk. ? 6.?The _____ tells us that the expected return on a risky asset depends only on that assets nondiversifiable risk.?A.?Efficient Markets Hypothesis (EMH)B.?systematic risk principleC.?Open Markets TheoremD.?Law of One PriceE.?principle of diversification ? 7.?The amount of systematic risk present in a particular risky asset, relative to the systematic risk present in an average risky asset, is called the particular assets:?A.?beta coefficient.B.?reward-to-risk ratio.C.?total risk.D.?diversifiable ri