The Standard Deviation of a Portfolio Will Tend to Increase

question 15

Multiple Choice

The standard deviation of a portfolio will tend to increase when:

• A)a risky asset in the portfolio is replaced with U.S.Treasury bills.
• B)one of two stocks related to the airline industry is replaced with a third stock that is unrelated to the airline industry.
• C)the portfolio concentration in a single cyclical industry increases.
• D)the weights of the various diverse securities become more evenly distributed.
• E)short-term bonds are replaced with Treasury Bills.

Understand the significance of expert power and ways to enhance it through organizational opportunities.

Explore strategies for effective politicking and their practical applications in organizational settings.

Comprehend the importance of emotional and rational appeals in influencing others within the organization.

Understand the concept of locus of control and its relevance in organizational politicking.

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Definitions:

Achievable Targets

Goals that are realistic and can be accomplished within a set timeframe, taking into account available resources and constraints.

Temporary Leadership

A leadership role assumed on an interim basis during periods of transition or until a permanent leader is appointed.

Consulting Engagement

An agreement in which a company hires an external party to provide expert advice and services.

Nature of Services

Characteristics that differentiate services from goods, such as intangibility, heterogeneity, perishability, and inseparability of production and consumption.