If Asset A's Return Is Exactly Two Times Asset B's

question 56

Multiple Choice

If asset A's return is exactly two times asset B's return, then following risk return tradeoff, the standard deviation of asset A should be _ times the standard deviation of asset B.

• A) 1
• B) 4
• C) 2
• D) 3

Master the rational decision-making process, including its steps and the challenges it faces in practical application.

Understand how post-decisional justification and escalation of commitment can impact decision outcomes.

Recognize the importance of systematically evaluating alternatives to minimize biases and satisficing behavior.

Learn about the role of heuristic biases in decision-making and strategies to overcome them.

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Definitions:

Career Aspirations

Individual goals or ambitions related to one's professional development and future job positions.

School Performance

The measure of educational outcomes and achievements of a school, often assessed through test scores, graduation rates, and other criteria.

Dropout Rates

The percentage of individuals who discontinue an educational program before completion, often used as an indicator of educational system performance.

Internal

Pertaining to or situated within the interior of something; often refers to processes or factors occurring within an entity or organism.