The beta of ABC Co. stock is the slope of
A) the arbitrage pricing line.
B) the security market line.
C) the characteristic line for a plot of ABC Co. returns against the returns of the market portfolio
for the same period.
D) the characteristic line for a plot of returns on the S&P 500 versus returns on short-term
Treasury bills.
C
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Northstar Insurance is about to begin using a program that will change the way its adjusters settle insurance claims. Adjusters will be able to complete an adjustment and issue a check right at the scene of the accident. Although employees are uncertain that the new system will work, other insurance agencies have been successful with this approach. At Northstar Insurance, the new program represents ________ change.
A. motivated B. innovative C. adaptive D. radically innovative E. refusal to
Myranda wants to implement team-based work in her organization that has always done things individually. In this example, the refreezing step might look like which of the following statements:
A. Discuss the needs for the change. B. Show a new organizational chart to employees, showing that teams are the new way that work will be organized. C. Challenge assumptions regarding working alone and getting rewarded for individual effort. D. Offering team rewards and reinforcing the new way work is organized.
Cash flow from ____ activities includes purchases and sales of marketable securities, investments in securities, property, plant, and equipment, and intangibles
a. operating b. investing c. financing d. purchasing e. exchanging
If a company receives $12,900 from its sole stockholder to establish a corporation, the effect on the accounting equation would be:
A. Assets increase $12,900 and liabilities decrease $12,900. B. Liabilities increase $12,900 and equity decreases $12,900. C. Assets decrease $12,900 and equity decreases $12,900. D. Assets increase $12,900 and liabilities increase $12,900. E. Assets increase $12,900 and equity increases $12,900.