Hi, please answer these questions for me, If you are not sure about the answer,

Question

Hi, please answer these questions for me, If you are not sure about the answer, please please just let me know before I entered the wrong answer! thank you!!!

I will award the 1500 points.

Which of the following statements is FALSE regarding the beta coefficient?

The U.S. government has been trying to decide whether or not to invest in full production of the new, advanced missiles that it has developed. One of the arguments in favor of the investment in the production is that since so much money has been spent on their development, it would be a waste of money not to invest on the project. What is the major problem with this argument?

Based on past US capital market behavior, which of the following is likely to be a true statement?

Explanation / Answer

c. According to CAPM, a stock with the beta of zero is expected to earn the same rate as the market portfolio.

c. It includes opportunity costs in the decision.

d. Treasury Bills have been the least risky investment, so it was the best investment for risk-haters.

b. The portion of an asset's risk attributable to factors that affect all firms is called systematic risk.

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