Which of the Following Is Incorrect

question 79

Multiple Choice

Which of the following is incorrect?

• A) It is possible to combine assets that all move in the exact same fashion over time and gain the benefits of diversification.
• B) Adding long-term Treasury bonds to a stock portfolio will reduce the risk of the portfolio.
• C) The optimal portfolio is the one with the lowest amount of risk.
• D) All of the statements are correct.

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Definitions:

Supervision

The act of overseeing or directing work and workers.

Promotion Opportunities

The availability and visibility of pathways for career advancement within an organization, often acting as a motivator for employee performance.

Centralization

The concentration of decision-making authority at the top levels of an organizational hierarchy.

Standardization

The process of developing and implementing technical standards to ensure that materials, products, processes, and services are fit for their purpose.