A ________ is the risk of the market not being able to be eliminated through portfolio diversification and that the share price will be a function of the stock market. 27. The field of _______ is the study of how shareholders can motivate management to accept the prescription of shareholder wealth maximization (SWM) model. 28. ________ are profits of all the individual units of firms, originating in many different currencies, and expressed in the currency of the parent company.
Risk and return
Before understanding the concept of Risk and Return in Financial Management, understanding the two-concept Risk and return individually is necessary.
Capital Asset Pricing Model
Capital asset pricing model, also known as CAPM, shows the relationship between the expected return of the investment and the market at risk. This concept is basically used particularly in the case of stocks or shares. It is also used across finance for pricing assets that have higher risk identity and for evaluating the expected returns for the assets given the risk of those assets and also the cost of capital.
global finance
26. A ________ is the risk of the market not being able to be eliminated through portfolio diversification and that the share price will be a function of the stock market.
27. The field of _______ is the study of how shareholders can motivate management to accept the prescription of shareholder wealth maximization (SWM) model.
28. ________ are profits of all the individual units of firms, originating in many different currencies, and expressed in the currency of the parent company.
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