Assume That the Expected Returns of the Four Portfolios Are

question 42

Multiple Choice

Assume that the expected returns of the four portfolios are the same but their variances are as follows.Which of these four portfolios would you select?

• A) 0.015
• B) 0.020
• C) 0.150
• D) 0.095

---

Definitions:

Mood Congruency

The phenomenon where an individual's current mood influences their thoughts, behaviors, and perceptions in a way that is consistent with the mood.

Example

An instance or situation that is representative of a group or set of things, often used to illustrate a point or explain a concept.

Experiential Purchases

Buying activities or experiences rather than physical goods, aiming for emotional satisfaction or memories.

Material Goods

Physical items produced for sale or use, often considered in the context of personal possessions or wealth.