Consider an Asset That Provides the Same Return No Matter

question 88

Multiple Choice

Consider an asset that provides the same return no matter what economic state occurs. What would be the standard deviation of this asset?

• A) Unable to answer since there is no data to calculate the standard deviation.
• B) A very low number since it would have very low risk.
• C) 1
• D) 0

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Definitions:

Organizational Learning

Refers to the process by which an organization “learns” from past mistakes and adapts to its environment.

Organizational Pluralism

An approach within organizations that promotes diversity, inclusivity, and coexistence of multiple cultures, viewpoints, and practices.

Organizational Engineering

A field that applies engineering principles and analytical approaches to the design and optimization of organizational structures, processes, and systems for improved performance.

Organizational Synergy

The increased effectiveness that results when individuals or groups work together cooperatively, producing a combined effect greater than the sum of their separate effects.