Identity Thieves That Obtain Your Information from the Magnetic Strip

question 15

Multiple Choice

Identity thieves that obtain your information from the magnetic strip on your credit card are using a technique known as

• A) shoulder surfing.
• B) dumpster diving.
• C) pretexting.
• D) skimming.

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Definitions:

Systematic Variance

The portion of a security's return variance that is attributable to macroeconomic factors and cannot be diversified away.

Total Variance

The sum of squared deviations from the mean, indicating the overall level of variability within a dataset.

Correlation Coefficient

A statistical measure that calculates the strength and direction of a linear relationship between two variables, ranging from -1 to 1.

Diversification

A strategy to reduce risk by allocating investments among various financial instruments, industries, and other categories.