The Sharpe Ratio Is Best Used to Evaluate Which One

question 78

Multiple Choice

The Sharpe ratio is best used to evaluate which one of the following?

• A)corporate bonds
• B)government bonds
• C)Treasury bills
• D)individual stocks
• E)diversified portfolios

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Definitions:

Inelastic Demand

A situation in which the demand for a product does not significantly change in response to price changes, often because there are few or no substitutes available.

Antidrug Policy

Government or organizational policies aimed at reducing the production, distribution, and consumption of illegal drugs.

Street Crime

Refers to criminal acts that occur in public places such as theft, vandalism, assault, and robbery.

Supply Curve

A graphical representation of the relationship between the price of a good and the quantity of the good that sellers are willing to offer for sale, holding other factors constant.