If a Person Wants a Well-Diversified Portfolio, They Should

question 28

Multiple Choice

If a person wants a well-diversified portfolio, they should

• A) invest within no more than two or three industries.
• B) invest in only high expected return investments.
• C) invest globally.
• D) invest only in Canada.

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Definitions:

Direct Materials Cost

The expense associated with the raw materials directly used in the production of goods.

Unadjusted Cost

The initial cost of an item or service before any adjustments like discounts, allowances, or modifications are made.

Cost of Goods Sold

The specific costs incurred in the making of goods that a company sells, which include materials and labor.

Schedule

A structured plan that outlines the times at which certain tasks, events, or activities are intended to occur.