If an Investor Has a Portfolio That Has Constant Proportions

question 30

Multiple Choice

If an investor has a portfolio that has constant proportions in T-bills and the market portfolio, the portfolio's characteristic line will plot as a line with ___________; if the investor can time bull markets, the characteristic line will plot as a line with ___________.

• A)a positive slope; a negative slope
• B)a negative slope; a positive slope
• C)a constant slope; a negative slope
• D)a negative slope; a constant slope
• E)a constant slope; a positive slope

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Definitions:

Hershey-Chase Experiments

Seminal experiments conducted by Alfred Hershey and Martha Chase in 1952 that helped to confirm DNA as the genetic material in bacteriophages.

Bacteriophages

Viruses that infect and replicate within bacteria.

DNA

Deoxyribonucleic acid, or DNA, is the carrier molecule for genetic directives that are essential for the growth, development, operational capabilities, and reproduction of all known life forms and a wide range of viruses.

Pyrimidines

Nitrogenous bases found in nucleic acids, such as cytosine, thymine in DNA, and uracil in RNA, which pair with purines in the double helix structure.