Which of the Following Pairs of Portfolios Exemplifies the Risk-Return

question 130

Multiple Choice

Which of the following pairs of portfolios exemplifies the risk-return tradeoff?

• A)For Portfolio A, the average return is 6 percent and the standard deviation is 15 percent; for Portfolio B, the average return is 6 percent and the standard deviation is 25 percent.
• B)For Portfolio A, the average return is 5 percent and the standard deviation is 15 percent; for Portfolio B, the average return is 8 percent and the standard deviation is 15 percent.
• C)For Portfolio A, the average return is 5 percent and the standard deviation is 25 percent; for Portfolio B, the average return is 8 percent and the standard deviation is 15 percent.
• D)For Portfolio A, the average return is 5 percent and the standard deviation is 15 percent; for Portfolio B, the average return is 8 percent and the standard deviation is 25 percent.

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Definitions:

Union Representation

The act of a union acting on behalf of its members in negotiations and interactions with employers.

Majority Sign-up

A method for workers to form a union or gain union representation by obtaining the signatures of a majority of employees in a bargaining unit, bypassing the need for a formal election.

Decertify Union

The process by which workers can remove the certification of their union as the bargaining representative, typically through a vote.

Eligible Employees

Workers who meet certain criteria set by employers or laws that allow them to receive benefits or rights, such as participating in a union.