In Order to Determine the Expected Return of a Portfolio

question 39

Multiple Choice

In order to determine the expected return of a portfolio, all of the following must be known except:

• A) the probabilities of expected returns of the individual assets.
• B) the weight of each individual asset in the portfolio.
• C) the expected return of each individual asset.
• D) the variance of return of each individual asset and correlation of returns between assets.

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Definitions:

Organizational Politics

The activities within an organization aimed at improving personal or departmental power and influence, often at the expense of organizational goals.

Specialized Expertise

Refers to the advanced knowledge or skills in a particular field or area of study, often acquired through education or extensive experience.

Service Levels

Agreed upon measurements of the quality and performance of services provided, often detailed in the service level agreements between providers and consumers.

Recruiting

The process of identifying, attracting, interviewing, and hiring employees to fill job vacancies in an organization.