Which Statement Is Correct

question 37

Multiple Choice

Which statement is correct?

• A)Charge flows in a closed circuit.
• B)Voltage flows through an open or a closed circuit.
• C)Resistance flows through an open circuit.
• D)Current is the primary cause of voltage.

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Definitions:

Well-diversified Portfolio

An investment strategy that spreads risk by allocating investments among various financial instruments, sectors, or other categories.

Variability of Returns

The extent of fluctuation in the returns on an investment over a certain period of time, often used as a measure of investment risk.

Business-specific Risk

This is the risk associated with the unique factors impacting a specific company or industry, excluding broader market or economic risks.

Unsystematic Risk

The risk associated with a particular company or industry, which can be mitigated through diversification.