Which of A) Through D) Is FALSE

question 10

Multiple Choice

Which of a) through d) is FALSE?

• A) If an asset's returns are distributed as normal, then its return distribution can be completely described by its mean and variance of return.
• B) Returns on foreign stocks are leptokurtic.
• C) Correlation and covariance measure how closely two assets move together.
• D) The correlation coefficient between two assets is the covariance scaled by the standard deviations of the two assets.
• E) All of the above are true

---

Definitions:

Interpret and Apply

The process of understanding the meaning of something, such as a rule, and implementing it accordingly.

Compulsory Arbitration

A method of resolving disputes where an impartial third party is given the authority to make decisions that are legally binding on both sides involved in the conflict.

Discrimination

Unjust or prejudicial treatment of different categories of people, often based on race, age, sex, or disability.

Sexual Harassment

Unwanted sexual advances, requests for sexual favors, or other verbal or physical harassment of a sexual nature.