A Good Way to Minimize Risk and Receive an Optimum

question 39

Multiple Choice

A good way to minimize risk and receive an optimum return on your portfolio is:

• A)Through diversification
• B)Buy only risk-free securities
• C)Through blue-chip stock purchases only
• D)Through junk-bonds

---

Definitions:

Continuous Values

Numerical data that can take any value within a specified range, often associated with measurements.

Production Cost

The total expense incurred in the manufacturing of a product or providing a service, including raw materials, labor, and overhead costs.

Optimal Cost

The lowest possible cost at which a particular set of goods or services can be produced or acquired, taking into consideration factors such as efficiency and resource allocation.