Which of the Following Is True Regarding the Expected Return

question 61

Multiple Choice

Which of the following is true regarding the expected return of a portfolio?

• A) It is a weighted average only for stock portfolios.
• B) It can only be positive.
• C) It can never be above the highest individual asset return.
• D) It is always below the highest individual asset return.

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Definitions:

Formal Sanctions

Official and authorized penalties or rewards imposed by a governing body or institution to enforce rules or laws.

Mores

Social norms that are widely observed and have great moral significance, guiding the moral and ethical behavior within a society.

Core Values

Fundamental beliefs or guiding principles that dictate behavior and action for an individual or organization.

Culture Wars

Conflicts between groups with differing ideals, beliefs, and practices regarding cultural, moral, and religious issues.