Which Statement Is FALSE

question 19

Multiple Choice

Which statement is FALSE?

• A)As mAs increases, exposure increases.
• B)As mAs decreases, density decreases.
• C)As mAs increases, density increases.
• D)As mAs decreases, exposure increases.

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Definitions:

Recession

A period of temporary economic decline during which trade and industrial activity are reduced, generally identified by a fall in GDP in two successive quarters.

Portfolio

A group of various financial instruments such as stocks, bonds, commodities, and cash or cash-like assets, including mutual funds and exchange-traded funds.

Portfolio Diversification

An investment strategy that involves spreading investments across different financial assets to reduce risk.

Diverse Securities

A variety of financial instruments that an investor holds, including stocks, bonds, and commodities, to reduce risk through diversification.