Which of the Following Statements Is FALSE

question 6

Multiple Choice

Which of the following statements is FALSE?

• A) A short sale is a transaction in which you buy a stock that you do not own and then agree to sell that stock back in the future.
• B) The efficient portfolios are those portfolios offering the lowest possible level of volatility for a given level of expected return.
• C) A positive investment in a security can be referred to as a long position in the security.
• D) It is possible to invest a negative amount in a stock or security call a short position.

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Definitions:

Permissiveness

Characterized by or allowing considerable freedom of behavior, a lenient approach to discipline or rules.

Inconsistency

The state of being incoherent or not staying the same throughout, often leading to unpredictability or confusion.

Rigidity

The lack of flexibility or the unwillingness to adapt or change one's beliefs, methods, or approaches.

Discipline Problems

Issues related to managing behavior and enforcing rules, typically in educational or organizational settings, that disrupt the learning or working environment.