The correct answer is A. regression line.
A characteristic line is a line that represents the relationship between the expected return of a security and its beta. It is calculated using a regression analysis, which is a statistical method that is used to find the line of best fit for a set of data points.
A probability line is a line that represents the probability of an event occurring. It is calculated using a probability distribution, which is a mathematical function that describes the likelihood of different outcomes occurring.
A scattered point is a point on a graph that represents the data for a particular security.
A weighted line is a line that represents the average of a set of data points. It is calculated by multiplying each data point by its weight and then dividing the sum of the products by the sum of the weights.
In capital asset pricing model, characteristic line is classified as A. regression line.