Leda Recently Gave Birth to Twins,a Boy and a Girl

question 44

Multiple Choice

Leda recently gave birth to twins,a boy and a girl.Without revealing the sex of her babies,she has invited guests over and dressed her daughter in blue and her son in pink.Which of the following is an unlikely response from her guests?

• A) They will most likely treat her son more delicately than her daughter.
• B) They will encourage her daughter to behave more aggressively than her son.
• C) They will encourage her daughter to be friendlier than her son.
• D) They will incorrectly identify her daughter as a boy.

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Definitions:

Capital-allocation Line

A line on a graph that represents the risk-and-return profiles of risky assets, showing the possible combinations of risk and return that are available.

Efficient Frontier

A concept in modern portfolio theory representing a set of optimal investment portfolios that offer the highest expected return for a defined level of risk or the lowest risk for a given level of expected return.

Capital Asset Pricing Model

A model that describes the relationship between systemic risk and expected return for assets, particularly stocks, used to calculate a theoretically appropriate required rate of return for an asset, given its non-diversifiable risk.

Expected Rate

The anticipated return on an investment based on historical averages, interest rates, or economic indicators.