If a firm's beta was calculated as 1.6 in a regression equation, a commonly-used adjustment technique incorporating a weighting on long-run beta of 1.0 would provide an adjusted beta of

between 1 and 1.6

Explanation:

The Market Beta is 1.0 which is why in the long run, betas will equal 1 and so will move steadily towards 1 overtime.

The adjustment technique will therefore show a beta between 1 and 1.6 because the 1.6 will move on to 1 overtime.

To explain, the adjustment technique is as follows;

Adjusted beta = 2/3(sample beta) + 1/3(1)

= 2/3(1.6) + 1/3

= 1.4

The adjusted beta of 1.4 is between 1 and 1.6.

one of the disadvantages of getting a government sponsored mortgage is they put a limit on the purchase price of the house. because the government is in charge of the mortage loan and terms, they are able to control how much money they are allowing someone to take out for the loan. not only are they incontrol, it's a lengthy process for a government sponsored mortgage.

being born in poverty would limit the people's chances, opportunities and benefits.

this happen because of several things, such as:

- poor people tend to gain less access to good education and nutrition. this mean that their chance to obtain high paying jobs would also be limited.

- poor people tend to socialize with other poor people while the rich tend to socialize with other rich people. this means that simply throguh their social circle, rich people would have more business opportunities compared to the poor people.

- rich people tend to have more capital in their disposal. this would benefit them in business since it is far easier for them to fund their business operation compared to poor people.