Which of the Following Statements Is FALSE

question 60

Multiple Choice

Which of the following statements is FALSE?

• A)The risk premium of any marketable security can be written as the sum of the risk premium of each factor multiplied by the sensitivity of the stock with that factor.
• B)The factor betas measure the sensitivity of the stock to a particular factor.
• C)If we use more than one portfolio as factors,then together these factors will capture systematic risk,but each factor captures different components of the systematic risk.
• D)When we use more than one portfolio to capture risk,the model is known as a single-factor model.

Comprehend the role and advantages of various distribution strategies such as drop-shipping and in-transit merge.

Grasp the concept of customer service dimensions in supply chain management.

Understand the implications of network facility number and location on total transportation and inventory costs.

Comprehend the value distributors add in the supply chain, especially in contexts of product dispersion to small customers.

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Definitions:

Seasonal Demand

Fluctuations in the demand for certain products or services at particular times of the year.

Extending Credit

The practice of allowing a buyer to purchase goods or services now and pay for them at a later date, often involving the assessment of the buyer's creditworthiness.

Facilitating Function

Activities that assist in the movement of goods from the producer to the consumer, including transportation, storage, and financial services.

Channel Intermediaries

Organizations or individuals that act as middlemen in the distribution process, helping to move products from the manufacturer to the consumer.