As the Number of Stocks in a Portfolio Is Increased

question 3

Multiple Choice

As the number of stocks in a portfolio is increased:

• A) Unique risk decreases and approaches to zero
• B) Market risk decreases
• C) Unique risk decreases and becomes equal to market risk
• D) Total risk approaches to zero

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Definitions:

Child's Relationship

The connections and interactions a child has with others, particularly significant caregivers, which shape their development and well-being.

Trusting Attitude

A predisposition to believe that others are reliable and have good intentions.

Hostile Attitude

Exhibiting anger, antagonism, or opposition toward others or situations, often as a defensive or coping strategy.

Child Rearing

The process and methods used by parents and caregivers to support and guide a child's development.