Define Motivation and the Two Basic Types of Motivation Theories

question 75

Essay

Define motivation and the two basic types of motivation theories.

Explore the impact of mixing risk-free and risky assets on a portfolio's risk and return.

Recognize the role of diversification in managing portfolio risk.

Identify the mathematical relationships used to determine the standard deviation of a portfolio's return.

Compare and contrast the effects of different asset combinations on portfolio variance.

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Definitions:

Cash Investment

Funds that are invested in assets that can be quickly turned into cash, or the act of putting money into financial schemes, shares, property, or a commercial venture with the expectation of achieving a profit.

Equipment Sale

The process of selling off business-owned equipment, either to upgrade to newer assets or to liquidate assets for cash.

Cash Dividend

A payment made by a company out of its earnings to its shareholders in cash.

Financing Activities

Transactions that involve raising funds to finance the company's operations and repaying debt; part of a firm's financial operations detailed on the statement of cash flows.