Which Statement Is True Regarding the Market Portfolio

question 97

Multiple Choice

Which statement is true regarding the market portfolio?

• A)It includes all publicly traded financial assets.
• B)It lies on the efficient frontier.
• C)All securities in the market portfolio are held in proportion to their market values.
• D)It is the tangency point between the capital market line and the indifference curve.
• E)A,B,and C are true.

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Definitions:

Codominant

Codominant refers to a genetic scenario where two different alleles of a gene are expressed equally in the phenotype of a heterozygote.

Recessive

A term for a gene that directs the development of a particular characteristic only if the corresponding gene on the other chromosome matches it—i.e., is the same allele.

Genetic Inheritance

The process by which an offspring receives genes from its parents, explaining how traits or conditions are passed from one generation to the next.

Origin of Species

The scientific explanation of how different kinds of living organisms are believed to have developed, especially as popularized by Charles Darwin's work.