Which of the Following Is True of a Portfolio

question 164

Multiple Choice

Which of the following is true of a portfolio?

• A)It is usually held by high net worth investors.
• B)It is considered diversified only if it contains both stocks and bonds.
• C)Its risk and return are different from but based on those of the individual securities in it.
• D)It is available to institutional investors and pension funds.

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Definitions:

Spending Variances

Differences between the budgeted or planned amount of expenses and the actual amount spent.

Customers Served

The number of consumers who have been provided with services or products by a business during a specified period.

Revenue Variance

The difference between the actual revenue earned by a company and its expected (or budgeted) revenue.

Spending Variances

Variances that arise when there is a difference between the actual amount spent on a particular item or activity and the budgeted or forecasted amount.