Which of the Following Statements Is FALSE

question 79

Multiple Choice

Which of the following statements is FALSE?

• A)Expected return should rise proportionately with volatility.
• B)The shares of the largest companies are typically more volatile than a portfolio of large cap shares.
• C)Investors would not choose to hold a portfolio that is more volatile unless they expected to earn a higher return.
• D)Smaller company shares have lower volatility than larger stocks.

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Definitions:

Survey Method

A research technique that involves collecting data from a sample of individuals through their responses to questions.

Experimental Method

A research approach where variables are manipulated to determine their effect on other variables within a controlled environment.

Naturalistic Observation Method

The naturalistic observation method involves observing subjects in their natural environment without intervention, to study behaviors and interactions as they unfold naturally.

Correlational Method

A research strategy that investigates the relationship between two or more variables to determine whether they occur together or not in a predictable pattern.