Diversification Means

question 172

Multiple Choice

Diversification means

• A) allocating all your investment funds into one type of investment.
• B) buying investments on margin.
• C) being knowledgeable about the various types of investment opportunities.
• D) allocating your investment funds to several types of investments.

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Definitions:

Continuous Random Variables

Variables that can take on any values within a continuous range, as opposed to discrete variables that have specific, separate values.

Normal Distribution

It's a probability distribution where the frequency of data decreases as the distance from the mean increases, exhibiting symmetry about the mean.

Standard Deviation

A statistical measure that quantifies the dispersion or spread of a set of data points around their mean.

Fast Food

Food that can be prepared and served quickly, typically part of a fast-food restaurant's menu, known for being convenient and often less nutritious.