Which of the Following Statements Is FALSE

question 47

Multiple Choice

Which of the following statements is FALSE?

• A)All portfolios on the efficient frontier are attainable.
• B)Every portfolio below the efficient portfolio can be improved.
• C)All portfolios on the efficient frontier have the same variance to return ratio.
• D)The minimum variance portfolio represents the lowest level of variance that an efficient portfolio can have.

---

Definitions:

Non-Controlling Interest

A share of equity ownership in a subsidiary not attributable to the parent company, representing the portion of the subsidiary's net assets and net income not owned by the parent.

Subsidiary

A company that is controlled by another company, known as the parent company, through ownership of more than 50% of its voting stock.

Interest Revenue

Income earned on investments or money lent, represented by the amount charged to borrowers for the use of the lender's funds.

Elimination

In accounting, the process of removing intercompany transactions from the financial statements of a consolidated group.