Which of the Following Statements Is False

question 96

Multiple Choice

Which of the following statements is false?

• A) A market index reports the value of a particular portfolio of securities.
• B) The S&P/TSX Composite Index is the standard portfolio used to represent "the market" when using the CAPM in practice.
• C) Even though the S&P/TSX Composite Index includes only 244 Canadian stocks, it represents about 95% of the Canadian stock market in terms of market capitalization.
• D) The S&P/TSX Composite Index is an equal-weighted portfolio of the largest Canadian stocks.

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Definitions:

Surpluses

Instances in which supply exceeds demand, resulting in excess goods, services, or resources.

Natural Attrition

The reduction in workforce due to employees leaving naturally through retirement, resignation, or death, rather than through layoffs.

Early Retirement

An option allowing individuals to retire before the traditional retirement age, often with specific pension or benefits arrangements.

Labor Surplus

A situation in which the supply of workers exceeds the demand for labor, leading to unemployment or underemployment.