FIN 534 RANK Imagine Your Future /fin534rank.com FIN 534 RANK Imagine Your Future /fin534rank.com - Page 64

5. Which of the following statements is CORRECT? a. If Mutual Fund A held equal amounts of 100 stocks, each of which had a beta of 1.0, and Mutual Fund B held equal amounts of 10 stocks with betas of 1.0, then the two mutual funds would both have betas of 1.0. Thus, they would be equally risky from an investor's standpoint, assuming the investor's only ass WB2R"FRFW"bFRWGVgVG2"bfW7F'2&V6R&R&6fW'6R'WB%$bFW2B6vRFVFR&WV&VB&FRb&WGW&v&WF7F62v&6RBFR&WV&V@&WGW&r&WF7F62vFV6ƖR'WBFR&WV&VB&WGW&fW&vR&67F6vB6vR2fW7F"vG2W7BR7F6vvVW&ǒ&RW6VBF&R&6FfW7F"vG2'FfƖb7F6277V֖rFP7F62&RWVǒ&666RFRFW"bFR7F6'FfƖ0W6VBF&R&6R"6R6WV7BFV&vW"&FRb&WGW&F6V6FRf"FRw&VFW"&6BFW&R2&V6FFFBFR6RbFRVB7W'fRvV@fRVffV7BFR6RbFR4R77VRFBFR&WV&VB&FRb&WGW&FR&WB$2vfV@fVBBRbFRVB7W'fRvW&RWv&B6rFVFR6V7W&G&WBƖR4’vVBfR7FVWW"6RbזV"G&V7W'6V7W&FW2vW&RW6VB2FR&6g&VR&FRFb3זV"G&V7W'&G0vW&RW6VBf"%$b