The Expected Return on a Portfolio

question 107

Multiple Choice

The expected return on a portfolio:

• A)can be greater than the expected return on the best performing security in the portfolio.
• B)can be less than the expected return on the worst performing security in the portfolio.
• C)is independent of the performance of the overall economy.
• D)is limited by the returns on the individual securities within the portfolio.
• E)is an arithmetic average of the returns of the individual securities when the weights of those securities are unequal.

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Definitions:

Developmental Sequence

The chronological order of developmental milestones that individuals typically go through as they grow and mature.

Freud's

Pertaining to the theories of Sigmund Freud, which focus on psychoanalytic concepts of human behavior and personality development.

Psychoanalysis

A therapeutic approach and theory of psychology developed by Sigmund Freud emphasizing unconscious motives and conflicts.

Oral Psychosexual Stage

The first stage in Freud's psychosexual development theory, where an infant's pleasure centers on activities involving the mouth.