Which of the Following Ranks Each Alternative on Its Relative

question 151

Multiple Choice

Which of the following ranks each alternative on its relative capability to satisfy the user's requirements (goals) for the system?

• A) the cost/effectiveness study
• B) the cost/benefits analysis
• C) the effectiveness analysis
• D) the intangible benefits analysis

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Definitions:

Nonsystematic Standard Deviation

A measure of the variability of an investment's return due to factors specific to the investment or its issuer, excluding broader market influences.

Macroeconomic Risks

Considered broad economic or political uncertainties that could affect the performance of financial markets and investments globally.

Security Selection

The process of choosing individual securities for investment with the goal of achieving the best possible return for a given level of risk.

Passive Strategy

A portfolio decision that avoids any direct or indirect security analysis. See passive management.