Lower standard deviations represent greater risk

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Reference no: EM131998623

True or False?

1- The only variable on the? right-hand side of the CAPM formula that varies from one company to another is expected return on the market.

2- In order to properly evaluate a? stock, investors need only consider its? risk.

3- Investors should always choose stocks with the highest? reward-risk ratio.

4- To find the standard? deviation, we take the square root of the sum of the squared deviations of each observation from the mean of the observations.

5- When working with the entire population of? observations, the denominator of the variance calculation is? (n -? 1).

6- Ceteris paribus?, lower standard deviations represent greater risk.

Reference no: EM131998623

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