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Betas that are constantly adjusted to reflect changes in capital structure and firms operations are classified as

A. fundamental structure

B. fundamental adjustment

C. fundamental betas

D. fundamental operations

Answer: Option C

Solution(By Examveda Team)

Betas that are constantly adjusted to reflect changes in capital structure and firms operations are classified as fundamental betas. Estimate of potential risk, accounting for various factors like company size, volatility, momentum, and such. It facilitates identifying potential risk of a company’s security using current and future (predicted) market-related and financial data.

This Question Belongs to Commerce >> Financial Management

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