Which One of the Following Statements Is Correct Concerning Asset

question 93

Multiple Choice

Which one of the following statements is correct concerning asset allocation?

• A)Because there is an ideal mix, all investors should use the same asset allocation for their portfolios.
• B)The minimum variance portfolio will have a 50/50 asset allocation between stocks and bonds.
• C)Asset allocation affects the expected return but not the risk level of a portfolio.
• D)There is an ideal asset allocation between stocks and bonds given a specified level of risk.
• E)Asset allocation should play a minor role in portfolio construction.

Understand the nature and impact of change leadership within organizations.

Recognize the informational, decisional, and interpersonal roles of managers as identified by Henry Mintzberg.

Identify and understand key management functions.

Recognize and describe management skills and roles.

---

Definitions:

Leadership Team

A group of individuals at the top of an organization who are responsible for making strategic decisions and guiding the company towards its goals.

Socially Responsible

Refers to practices and policies that a business adopts to benefit society and the environment, beyond what is legally required.

Customer Loyalty

The likelihood of previous customers to continue buying products or services from a specific business due to satisfaction with the product or service, convenience, or familiarity.

Profit Margins

The difference between the cost of goods sold and the sales revenue, expressed as a percentage of sales revenue, indicating the profitability of a product or business.