The Formula Is Used to Calculate the _____________

question 58

Multiple Choice

The formula is used to calculate the _____________.

• A) Sharpe measure
• B) Treynor measure
• C) Coefficient of variation
• D) Real rate of return

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Definitions:

Efficiency

The extent to which resources are used optimally to achieve a specific outcome with minimal waste.

Incentives

Factors, usually financial or material rewards, that motivate individuals or firms to act in a certain way.

OPEC

The Organization of the Petroleum Exporting Countries (OPEC) is an intergovernmental organization of oil-producing countries that coordinates and unifies the petroleum policies of its member states.

Efficient Allocation

The distribution of resources in a way that maximizes the net benefit to society or achieves a desired outcome effectively.