Which of the Following Would NOT Count as a Project

question 494

Multiple Choice

Which of the following would NOT count as a project that offsets greenhouse gas emissions?

• A) Installing renewable energy sources, such as solar panels, in a village in India that currently has no electricity.
• B) Providing energy-efficient, electric cooking stoves to people who currently cook in wood-burning stoves.
• C) Planting a large number of trees in a forest set aside for conservation.
• D) Digging wells to ensure that people have easy access to clean drinking water.

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Definitions:

Capital Allocation Line

A line on a graph that represents the risk-reward ratio of investments, showing the optimal portfolio mix between risk-free assets and risky assets.

Reward-to-Volatility Ratio

A measure of the return on an investment relative to its risk, often used to compare the performance of investment strategies.

Efficient Frontier

A graphical representation of the set of optimal portfolios that provides the best possible expected return for a given level of risk.

Capital Allocation Line

A graph showing all possible combinations of risk-free assets and a portfolio of risky assets, illustrating optimal portfolios based on expected return and risk.