12. Beta coefficients are computed with estimated data concerning the asset's expected return.

	a.	True
	b.	False

13. Beta coefficients and standard deviations may be used as indicators of risk.

	a.	True
	b.	False

14. The expected return on an investment includes both the expected income plus expected price appreciation.

	a.	True
	b.	False

15.

The return on a portfolio considers both the individual asset's return and its weight in the portfolio.

	a.	True
	b.	False

16. The capital asset pricing model specifies the required return adjusted for systematic risk.

	a.	True
	b.	False

17. The risk premium in the capital asset pricing model rises with the expected return on the market.

	a.	True
	b.	False

18. The larger an investment's standard deviation, the smaller is the element of risk.

	a.	True
	b.	False

19. A beta of 1.0 indicates that the stock's price is stable.

	a.	True
	b.	False

20. Stocks with low beta coefficients have higher required rates of return.

	a.	True
	b.	False