Which of the Following Formulas Is Incorrect

question 53

Multiple Choice

Which of the following formulas is incorrect?

• A) Variance of an equally Weighted Portfolio = (Average Variance of Individual Stocks) (Average covariance between the stocks)
• B) Variance of a portfolio =
• C) Variance of a portfolio =
• D) Variance of a portfolio =

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Definitions:

Circumstances

Factors or conditions that affect a situation, event, or action.

Stress

A psychological and physical response to certain demands or challenges, which can vary in intensity and duration, impacting overall health and well-being.

Irritating

Causing annoyance, impatience, or mild anger.

Shaken

Often refers to the physical act of moving something vigorously or a state of emotional disturbance and upset.