Which of the Following Statements Is NOT True

question 4

Multiple Choice

Which of the following statements is NOT true?

• A) International diversification benefits induce investors to demand foreign securities.
• B) An international security adds value to a portfolio if it reduces risk without reducing return.
• C) Investors will demand a security that adds value.
• D) All of the above are true.

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Definitions:

Desired Performance

The expected or targeted level of performance or outcome that an organization or individual aims to achieve.

Management Exception

A management principle where only significant deviations from set standards are brought to the attention of management to optimize decision-making efficiency.

Actual Performance

The real, measurable outcomes of an individual's or organization's work, often compared against expected or intended performance.

Below Standard

A performance or quality level that does not meet the set baseline or expected criteria, indicating the need for improvement or corrective action.