If the _____________ of a stock is known an investor can use the security market line to
determine the expected return on that stock. Answer standard deviation beta coefficient of variation unsystematic risk In comparing the deviations of returns which one of the following assets has historically had
the largest standard deviation of annual returns? Answer large company stocks long-term corporate bonds long-term government bonds U.S. Treasury bills The security market line can be used to determine the expected return on a security based on
the: Answer market rate of return slope of the line systematic risk of that security risk premium