Which of the Following Is NOT True

question 47

Multiple Choice

Which of the following is NOT true?

• A)A corporation has no physical existence.
• B)A corporation is a legal fiction.
• C)A corporation is a creature of law.
• D)A corporation does not have the attributes of a natural person.
• E)A corporation has the same attributes as a natural person.

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Definitions:

Risk-Free Return

The theoretical return on an investment with zero risk, typically represented by government securities like Treasury bills.

Beta

A measure of a stock's volatility in relation to the overall market; a beta greater than 1 indicates higher than market volatility.

Treynor Measure

A performance metric for determining how well an investment compensates the investor for the risk taken, considering systematic risk.

Risk-Free Return

The theoretical return of an investment with zero risk, often represented by the yield of government bonds like U.S. Treasury bonds.