An Entity Cluster Is Formed by Combining Multiple Interrelated Entities

question 21

Multiple Choice

An entity cluster is formed by combining multiple interrelated entities into ____.

• A) a single abstract entity object
• B) multiple abstract entity object
• C) a single entity object
• D) multiple entity objects

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Definitions:

Immunization

A strategy in bond portfolio management aimed at minimizing the impact of interest rate changes on the portfolio's value while ensuring that the portfolio meets future cash flow needs.

Asset Portfolio

A collection of various types of investments held by an individual or institution.

Liabilities

Financial obligations or debts owed by a company or individual to creditors, typically categorized as current or long-term.

Rebalancing

The process of realigning the proportions of assets in a portfolio to maintain the original or desired level of asset allocation and risk.