Which of the Following Formulas Is INCORRECT

question 98

Multiple Choice

Which of the following formulas is INCORRECT?

• A)Variance of an equally Weighted Portfolio = (1 - )(Average Variance of Individual Stocks)+ (Average covariance between the stocks)
• B)Variance of a portfolio =
• C)Variance of a portfolio =
• D)Variance of a portfolio =

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Definitions:

Marine Animal

An animal that inhabits the ocean or other marine environments.

User Cost

The economic cost of using a resource today, which considers the lost opportunity of using it in the future.

Energy

The capacity to do work, manifested in physical forms such as heat, light, motion, and chemical energy, crucial to all aspects of life and industry.

Forests

Large areas covered chiefly with trees and undergrowth, considered in economic terms as a resource for timber, recreation, and ecological benefits.