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Keith_Richards [23]
3 years ago
15

All things equal, diversification is most effective when

Business
2 answers:
labwork [276]3 years ago
8 0

Answer:

D) securities' returns are negatively correlated.

Explanation:

For diversification we want to reduce risk thus, the stocks must be diverse they must be different. That means the situation under one stock increases makes the other incease that way we have a balance portfolio

We need negative correlation among securities.

sladkih [1.3K]3 years ago
8 0

Answer:

D) securities' returns are negatively correlated.

Explanation:

The whole purpose of diversification is to lower risk while maintaining reasonably high returns. The whole idea behind diversification is that when a group of stocks is performing poorly, another group is doing very well.  

That s exactly what negatively correlated means, when one stock is doing very well the other is doing poorly, and vice versa.

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Answer:

indirect loss, cannot be

Explanation:

Indirect losses refers to a type of loss that incurred outside of circumstances that usually occur in normal operation. (such as loss because the government created a certain type of law or loss because people are conducting strikes on other areas of our business)

Insurance companies can't cover Indirect losses because these costs tend to be really unpredictable and extremely hard to be measured .  They will specify that they wouldn't cover these types of loss during the initial cotnract.

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3 years ago
Is paying for health insurance more than your medical expenses?
GREYUIT [131]

Answer:

yes i think

Explanation:

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3 years ago
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Explanation:

Shipping is the backbone of global trade, around 80% of world trade in goods is carried by the international shipping industry.

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2 years ago
MC Qu. 137 Given the following data, calculate product... Given the following data, calculate product cost per unit under absorp
Paha777 [63]

Answer:

Total Product Costs under absorption costing per unit $ 32.59

Explanation:

Under absorption costing the fixed overheads are included in the product costs.  We calculate the total manufacturing costs having fixed overheads and variable overheads and divide it with the number of units to get the product cost per unit.

Expected units to be produced 51,000 units

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Overhead

Total variable overhead $ 31,000

Total fixed overhead $ 101,000

Total Manufacturing Costs $1662000

Total Manufacturing Costs per unit = Total Costs/ Total units= $1662000 / 51000= $ 32.59

4 0
2 years ago
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What is one main feature of the free enterprise system?
SCORPION-xisa [38]

Answer:

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Explanation:

People often use the terms free enterprise, free market, or capitalism to describe the economic system of the United States. A free enterprise economy has five important characteristics. They are: economic freedom, voluntary (willing) exchange, private property rights, the profit motive, and competition

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3 years ago
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