Consider an asset that provides the same return no matter what economic state occurs. What would be

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Consider an asset that provides the same return no matter what economic state occurs. What would be the standard deviation (or risk) of this asset? Explain.

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Finance Applications and Theory

ISBN: 978-0077861681

3rd edition

Authors: Marcia Cornett, Troy Adair

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Question Posted: Sep 23, 2014 10:39 AM

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Consider an asset that provides the same return no matter what economic state occurs. What would be

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Since this asset has no variation in its return it will have no standard deviation This could be sh...View the full answer

Finance Applications and Theory

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