A Riskfree Asset

question 11

Multiple Choice

A riskfree asset

• A) has a return correlation coefficient with securities of 1.
• B) has a negative return covariance with each security.
• C) has a standard deviation of return of zero.
• D) has a positive return covariance with many securities.

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Definitions:

Wide Base Singles

Single, broader tires designed to replace traditional dual tires on vehicles, improving efficiency and load-carrying capacity.

Drive Axles

Components of a vehicle's drivetrain that transfer power from the transmission to the wheels, enabling motion.

Paccar

A global technology company known for designing, manufacturing, and providing customer support for high-quality light, medium, and heavy-duty trucks.

Truck Brand

A specific make or marque of trucks, distinguished by a unique name, symbol, or feature, associated with specific manufacturers.