If We Wish to Develop a Stock Portfolio Wherein We

question 58

Multiple Choice

If we wish to develop a stock portfolio wherein we maximize return and minimize risk, we would have to use

• A)pure-integer programming.
• B)goal programming.
• C)zero-one integer programming.
• D)mixed-integer programming.

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Definitions:

Absorption Costing

An accounting method that includes both variable and fixed manufacturing costs in the cost of a product.

Net Operating Income

The profit realized from a business's operations after subtracting operating expenses but before deducting taxes and interest.

Variable Costing

A cost accounting method that includes only variable production costs (direct materials, direct labor, and variable manufacturing overhead) in product costs and treats fixed manufacturing overhead as a period expense.

Net Operating Income

The profit a company makes after deducting operating expenses but before interest and taxes from its total revenue.