If the Coefficient of Each Squared Term in a Quadratic

question 23

Multiple Choice

If the coefficient of each squared term in a quadratic function is positive,the function is

• A)concave.
• B)convex.
• C)elliptical.
• D)sinusoidal.

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Definitions:

Expected Return

The anticipated profit or loss from an investment, based on historical data or statistical analysis, often used as a forecast.

Standard Deviation

A statistical measure that quantifies the amount of variation or dispersion of a set of data values, commonly used in finance to assess the volatility of investment returns.

Investment

Allocating resources, usually money, with the expectation of generating an income or profit.

Reward-to-Variability Ratio

A ratio used to evaluate the return of an investment relative to its risk, with a higher ratio indicating a more favorable risk-reward profile.