Stock a Has an Expected Return of 10% Per Year

question 37

Multiple Choice

Stock A has an expected return of 10% per year and stock B has an expected return of
20%) If 40% of the funds are invested in stock A, and the rest in stock B, what is the expected return on the portfolio of stock A and stock B?

• A) 10%
• B) 20%
• C) 16%
• D) None of the above

Understand the concept of social loafing and factors that contribute to it.

Recognize the effects of deindividuation on behavior and how anonymity and group presence can influence individuals.

Analyze the process and consequences of group polarization in shaping attitudes and behavior.

Identify and explain the phenomenon of groupthink and its potential negative outcomes.

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Definitions:

Physiological

Related to the functions and processes within living organisms and their parts.

Belongingness

The human emotional need to be an accepted member of a group, whether it is family, friends, colleagues, or within a community.

Esteem

The respect, admiration, and confidence an individual has in themselves; a fundamental human need for feeling valued and validated.

Safety

The state of being safeguarded against or not prone to causing harm, peril, or damage.