Which of the Following Is True Regarding the Markowitz Model

question 31

Multiple Choice

Which of the following is true regarding the Markowitz model?

• A) It fully addresses the use of leverage.
• B) The inputs to the model are the portfolio asset weights.
• C) An investor's optimal portfolio occurs where the investor's indifference curve is tangent to the efficient frontier.
• D) Markowitz diversification is inefficient diversification.

---

Definitions:

Ending Inventory

The total value of goods available for sale at the end of an accounting period.

August

The month that falls eighth in the sequence of the Gregorian calendar year.

Total Cost

The complete cost of producing or acquiring goods, including variable and fixed costs.

Ending Inventory

The total value of goods available for sale at the end of an accounting period, calculated before any year-end adjustments.