Which of the Following Affect the Expected Rate of Return

question 26

Multiple Choice

Which of the following affect the expected rate of return for a portfolio?
I. weight of each security held in the portfolio
II. the probability of various economic states occurring
III. the variance of each individual security
IV. the expected rate of return of each security given each economic state

• A)I and IV only
• B)II and IV only
• C)II, III, and IV only
• D)I, II, and IV only
• E)I, II, III, and IV

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Definitions:

Entrenched Opinions

deeply held views or beliefs that are firmly established and difficult to change.

Sylvester Graham

A 19th-century dietary reformer known for advocating vegetarianism, whole wheat flour, and the invention of the Graham cracker as part of a healthy diet.

Health Reform

Efforts and policies aimed at improving the healthcare system, including access, quality, and affordability of healthcare services.

Vegetarianism

A dietary lifestyle that excludes meat, and sometimes other animal products, for health, ethical, or environmental reasons.