A Portfolio Is Considered to Be Efficient If

question 4

Multiple Choice

A portfolio is considered to be efficient if

• A) no other portfolio offers higher expected returns with the same risk.
• B) no other portfolio offers lower risk with the same expected return.
• C) there is no portfolio with a higher return.
• D) choices a and b
• E) all of the above

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Definitions:

Personality Change

Alterations in an individual's patterns of thought, behavior, or emotion that are typically significant and impactful over time.

Social Categorization

The assignment of a person one has just met to a category based on characteristics the new person has in common with other people with whom one has had experience in the past.

Cognitive Dissonance

A psychological conflict resulting from incongruous beliefs and attitudes held simultaneously.

Operant Conditioning

A learning process in which the frequency of an organism's behavior is modified by reinforcement or punishment.