Treynor's Measure of Portfolio Performance Focuses on

question 11

Multiple Choice

Treynor's measure of portfolio performance focuses on

• A) nondiversifiable risk.
• B) diversifiable risk.
• C) total risk.
• D) the standard deviation of the portfolio.

Recognize the composition and functions of the money supply in the economy (M1, M2).

Identify the reasons and advantages of holding money and the impact of interest rates on money holding.

Understand the concepts of interstate banking and its legality.

Analyze the role and impact of financial regulations and innovations on banking and financial services.

---

Definitions:

Operating Results

The financial outcomes achieved from a company's core business operations.

Variable Factory Overhead

Costs of production that fluctuate with the level of output, including utilities and materials not directly tied to a product's manufacture.

Controllable Variance

The difference between actual and budgeted figures that is within the control of a manager, used for assessing performance.

Controllable Variance

The difference between actual costs and budgeted costs that management has the power to influence or control through decisions and actions.