With the ANOVA Test, the ___________ the Difference Between Categories

question 10

Multiple Choice

With the ANOVA test, the ___________ the difference between categories, relative to the differences within, the ________ likely that the null hypothesis will be rejected.

• A) smaller, more
• B) greater, more
• C) smaller, less
• D) b & c are both correct

---

Definitions:

Active Portfolio

A portfolio that undergoes frequent trading and adjustments by a manager in an attempt to outperform the market or a specific benchmark.

Treynor-Black Model

A portfolio optimization model that blends a passive and an active portfolio for potential risk-adjusted returns superior to the market.

Alpha Coefficient

A measure of the performance on a risk-adjusted basis, calculating how much a portfolio or investment has returned in comparison to the overall market or a benchmark index.

Beta Coefficient

An indicator of how much a stock's price fluctuates in comparison to the general market, representing its risk relative to the market norm.