Which of the Following Statements Is False

question 35

Multiple Choice

Which of the following statements is false?

• A) The covariance and correlation allow us to measure the co-movement of returns.
• B) Correlation is the expected product of the deviations of two returns from their means.
• C) Because the prices of the stocks do not move identically, some of the risk is averaged out in a portfolio.
• D) The amount of risk that is eliminated in a portfolio depends on the degree to which the stocks face common risks and their prices move together.

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Definitions:

Clone Method

A method in object-oriented programming that creates and returns a copy of an object.

Tennis Shoes Class

A class in object-oriented programming that could represent the attributes and behaviors of tennis shoes in a software model.

Clone Method

A method that creates and returns a copy of an object, as defined by the java.lang.Object class in Java.

Dress Shoes Class

Assuming it is a user-defined class in programming, it would represent a category or template for creating objects related to dress shoes.