If Two Events Are Perfectly Positively Correlated,then

question 9

Multiple Choice

If two events are perfectly positively correlated,then

• A) diversification is not necessary since there is no risk.
• B) diversification eliminates all risk.
• C) diversification does not reduce risk at all.
• D) diversification only cuts the risk in half.

Apply the concept of age-adjusted death rates to compare mortality across different populations.

Differentiate between incidence and mortality rates in the context of less fatal diseases.

Understand the application of age-specific mortality rates in epidemiological studies.

Utilize crude death rates to describe disease impact in specific populations.

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Definitions:

Years

A measurement of time equal to 365 days (or 366 days in a leap year), used to denote the duration or age of something.

Insurance Annuity

An insurance product that pays out income, typically used as a retirement strategy to provide individuals with a steady income in their post-work years.

Rate of Return

Net profit or net loss from an investment during a specified time span, presented as a percentage of the investment's initial financial input.

Monthly Payments

Regular payments made every month on a loan or mortgage over a set period, often including interest and principal.