Which of the Following Statements Is FALSE

question 13

Multiple Choice

Which of the following statements is FALSE?

• A)To find the risk of a portfolio, we need to know more than the risk and return of the component shares; we need to know the degree to which the shares' returns move together.
• B)While the sign of the correlation is easy to interpret, its magnitude is not.
• C)When the covariance equals 0, the returns are uncorrelated.
• D)Independent risks are uncorrelated.

Identify the true scope of operations management across various types of organizations.

Acknowledge the diverse challenges top executives face regarding productivity, quality, speed, and customer service.

Recognize the key role of productivity in achieving competitive advantage.

Understand typical productivity obstacles and strategies for overcoming them.

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Definitions:

Year 2

The second year in a given timeline or series, often used in financial and performance analysis.

Absorption Costing

An approach to costing that covers all expenses involved in manufacturing, including direct materials, direct labor, and all overhead costs, both variable and fixed, in the product price.

Year 2

The second year in a series, timeline, or sequence, often referring to financial or operational periods.

Variable Costing

An accounting method that includes only variable manufacturing costs—direct materials, direct labor, and variable manufacturing overhead—in product costs, excluding fixed overhead.