The Measure of Risk for Pairs of Stocks in a Portfolio

question 5

Multiple Choice

The measure of risk for pairs of stocks in a portfolio selection problem is called:

• A) the covariance of the return.
• B) the variance of the return.
• C) the expected return.
• D) decreasing marginal return.
• E) None of the choices is correct.

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Definitions:

Specimen Preservation

The process of maintaining the integrity of a biological sample for later analysis or examination.

10% Formalin

A solution commonly used as a disinfectant and preservative in the medical and biological sciences, consisting of 10% formaldehyde in water.

Laboratory Examination

A clinical test conducted in a laboratory to analyze samples and diagnose conditions.

Anesthetic

A substance used to induce anesthesia, temporarily eliminating sensation or pain in a part or the entirety of the body.