Which of the Following Statements Is FALSE

question 47

Multiple Choice

Which of the following statements is FALSE?

• A)All portfolios on the efficient frontier are attainable.
• B)Every portfolio below the efficient portfolio can be improved.
• C)All portfolios on the efficient frontier have the same variance to return ratio.
• D)The minimum variance portfolio represents the lowest level of variance that an efficient portfolio can have.

---

Definitions:

Profit-maximizing

The process or strategy of adjusting production and sales to achieve the highest possible profit levels.

Total Cost

The sum of fixed costs and variable costs incurred by a business in producing a good or service.

Output

The quantity of goods or services produced within a given period.

Maximize Profits

The process or strategy aimed at achieving the highest possible profit margins by managing costs and increasing revenue.