Which of the Following Is Not Correct

question 10

Multiple Choice

Which of the following is not correct?

• A)The higher average return on stocks than on bonds comes at the price of higher risk.
• B)Risk-averse persons will take the risks involved in holding stocks if the average return is high enough to compensate for the risk.
• C)Insurance markets reduce risk,but not by diversification.
• D)Risk can be reduced by placing a large number of small bets,rather than a small number of large bets.

---

Definitions:

Dysfunctional

Refers to behaviors or processes that negatively impact an organization's or individual's functioning.

Burnout

A state of physical, emotional, and mental exhaustion caused by prolonged stress, typically from the workplace.

Managerial Role

The specific functions and responsibilities assigned to managers within an organization to achieve its goals and objectives.

Job-related Stress

The experience of stress, pressure, or strain directly tied to one's employment responsibilities or work environment.