Which of the Following Statements Is False

question 35

Multiple Choice

Which of the following statements is false?

• A)diversification cannot eliminate risk that is inherent in the macroeconomy or market risk.
• B)the expected rate of return on a portfolio does not depend on the correlation between the return on each stock.
• C)although gold is a risky investment by itself, including gold in a stock portfolio may reduce total risk of the portfolio.
• D)all of the above statements are correct.

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Definitions:

Real Time

Information technology that processes data as it is received, with very little delay.

One-price Policy

A pricing strategy where a retailer sets a fixed price for all customers, eliminating bargaining or negotiation.

Fixed-price Policy

A pricing strategy where the price of a product or service is set and not subject to change based on market fluctuations or negotiation.

Customary Pricing

Pricing strategy based on traditional costs or prices established over time within a specific industry or market for certain goods or services.