Which of the Following Conclusions Are Correct

question 23

Multiple Choice

Which of the following conclusions are correct?

• A)Most of the volatility of the dollar value of the British asset can be removed by hedging exchange risk because b²[Var(S)] and Var(e) are 0 ($)² and 0 ($)² respectively.
• B)None of the volatility of the dollar value of the British asset can be removed by hedging exchange risk because b²[Var(S)] and Var(e) are 0 ($)² and 0 ($)² respectively.
• C)Most of the volatility of the dollar value of the British asset cannot be removed by hedging exchange risk because b²[Var(S)] and Var(e) are 125,000 ($)² and -127,500 ($)² respectively.
• D)Most of the volatility of the dollar value of the British asset can be removed by hedging exchange risk because b²[Var(S)] and Var(e) are 125,000 ($)² and -127,500 ($)² respectively.

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Definitions:

Representative Clade

A group of organisms that includes an ancestor and all of its descendants, representative of a larger evolutionary group.

Supergroup

A classification level in the hierarchy of biological taxonomy, designed to help categorize organisms that share fundamental evolutionary traits beyond the domain and kingdom level.

Water Molds

Aquatic, fungus-like organisms belonging to the group Oomycetes, known for causing diseases in plants and fish.

Representative Clade

A collection of organisms consisting of a common ancestor and all its direct offspring, signifying one lineage on the evolutionary tree.