Answer:
increases and decreases
Explanation:
The budget line will become flat and the slope will decrease. The proportion of stocks in the portfolio will fall.
The equation for the budget line is given by,
Rp=((Rm-Rf)/SDm)*SDp + Rj
where Rp is the expected return on the portfolio, Rm is the expected return from investing in the stock market, Rf is the risk-free return on Treasury bills, SDm is the standard deviation of the return from investing in the stock market, and SDp is the standard deviation of the return on the portfolio.
So when the standard deviation of the return on the stock market increases, the slope of the budget line decreases making the budget line to become flatter. The budget line’s intercept stays the same as Rf does not change. As stocks have become riskier without a compensating increase in expected return, the proportion of stocks in the investor’s portfolio will fall.
Answer:
Option C: the price of one country's currency in terms of another country's currency
Explanation:
Exchange rate is simply the rate at which one currency is converted into another currency. foreign exchange market is said to be a market for changing or converting the currency of one country into that of another country. It enables conversion of the currency of one country into the currency of another and provides some insurance against foreign exchange risk.
Answer:
Any game with Yoshi in it or Danganronpa.
- Any yoshi game because I love Yoshi.
- Danganronpa because of brutal murdering.