Which of the Following Statements Is FALSE

question 17

Multiple Choice

Which of the following statements is FALSE?

• A)If investors have homogeneous expectations,then each investor will identify the same portfolio as having the highest Sharpe ratio in the economy.
• B)Homogeneous expectations are when all investors have the same estimates concerning future investments and returns.
• C)There are many investors in the world,and each must have identical estimates of the volatilities,correlations,and expected returns of the available securities.
• D)The combined portfolio of risky securities of all investors must equal the efficient portfolio.

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Definitions:

Refractory Error

Refractive error is a common eye disorder involving inaccuracies in the focusing of light on the retina, leading to blurred vision, which can be corrected by glasses, contact lenses, or surgery.

Acute Central Vision

The ability to see objects clearly and sharply in the central part of the visual field, essential for tasks requiring fine detail.

Auricle

The external portion of the ear, which captures sound waves and directs them into the ear canal.

External Auditory Canal

Short canal that opens to the exterior environment and terminates at the eardrum; part of the external ear.