If Two Events Are Perfectly Positively Correlated,then

question 9

Multiple Choice

If two events are perfectly positively correlated,then

• A) diversification is not necessary since there is no risk.
• B) diversification eliminates all risk.
• C) diversification does not reduce risk at all.
• D) diversification only cuts the risk in half.

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Definitions:

Machine Learning

A form of artificial intelligence that provides computers with the ability to learn without being explicitly programmed.

Task Manager

A system monitoring program used to provide information about the processes and programs running on a computer, as well as the general health of the system.

Nonresponsive Program

A software application that is not reacting to inputs or commands, often implying it has become frozen or is malfunctioning.

Program Instructions

Detailed steps or commands that tell a computer how to perform specific tasks or operations.