The Treynor-Black Model

question 16

Multiple Choice

The Treynor-Black model

• A)considers both macroeconomic and microeconomic risks.
• B)considers security selection only.
• C)is nearly impossible to implement.
• D)considers both macroeconomic and microeconomic risks and is nearly impossible to implement.

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Definitions:

Third-Party Payment

A health care payment plan in which the patient pays a premium to an insurance company and the doctor or hospital is paid by this company (e.g., Blue Cross/Blue Shield) for each treatment provided to the patient.

Insurance Company

A business entity that provides coverage, compensating policyholders for losses in exchange for premiums, in various domains such as health, life, and property.

Medical Bill

A statement detailing charges for medical services rendered, issued to the patient or their insurer.

Cadaver

A dead human body used for medical research, education, or forensic purposes.