Q. Which of the following statement(s) is/are true?I. A unique characteristic line is plotted for each security to determine the beta. II. For a characteristic line, the X-axis represents betas for different securities. III. The slope of the characteristic line is the difference between the market returns andrisk-free returns. (Solved)
1. Only (I) above
2. Only (II) above
3. Only (III) above
4. Both (I) and (II) above
- a. Only (I) above