In the Mean-Standard Deviation Graph,the Line That Connects the Risk-Free

question 37

Multiple Choice

In the mean-standard deviation graph,the line that connects the risk-free rate and the optimal risky portfolio,P,is called _________.

• A) the capital allocation line
• B) the indifference curve
• C) the investor's utility line
• D) the security market line

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Definitions:

Remote Past

A period referring to the distant historical past, signifying times or events significantly far back from the current period.

Systematic Desensitization

A therapeutic technique used to reduce phobia or anxiety through gradual exposure to the feared object or situation combined with relaxation exercises.

Stimulant Drugs

Substances that increase alertness, attention, and energy by enhancing the activity of certain neurotransmitters in the brain.

Electroshock Therapy

A psychiatric treatment in which seizures are electrically induced in patients to provide relief from mental disorders, more commonly known as Electroconvulsive Therapy (ECT).