The addition of a risky security to a fully diversified portfolio: a. may or may not affect the portfolio beta. b. will increase the unsystematic risk of the portfolio. c. must increase the portfolio beta. d. must decrease the portfolio's expected return. e. will have no effect on the portfolio beta or its expected return.

It is estimated that over 100,000 students will apply to the top 30 m.b.a. programs in the united states this year. a. using the concept of net present value and opportunity cost, when is it rational for an individual to pursue an m.b.a. degree. b. what would you expect to happen to the number of applicants if the starting salaries of managers with m.b.a. degrees remained constant but salaries of managers without such degrees decreased by 20 percent