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solmaris [256]
2 years ago
11

Which statement about portfolio diversification is correct?

Business
1 answer:
mario62 [17]2 years ago
8 0

Answer:

C. As more securities are added to a portfolio, total risk typically would be expected to fall at a decreasing rate.

Explanation:

Portfolio diversification gives more security to a portfolio, which expected to results in a decreasing rate of total risk.

The portfolio which is diversified carries the co-variance measure of risk. It has the property of reducing the risk as it diversifies the portfolio to a great extent.

It reduces the overall risk by diversifying the assets i.e. stock , bonds, commodities etc.

Hence, the most appropriate answer is option C.

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A producer of mobile aerial work platforms rewards employees for the number of basic skills they can perform rather than for the
evablogger [386]
The company uses skill-based pay. The skill-based pay is the most widely-implemented salary system, in which the salary is defined based the knowledge, experience, education or specialized training of the employee. <span>The greater the number or depth of skills an employee acquires and applies the bigger the pay. </span>
5 0
3 years ago
The Boot Department at the Omaha Department Store is being considered for closure. The following information relates to boot act
kykrilka [37]

Answer:

Yes, Omaha department store would be better off by $23000.

Explanation:

Given: Sales revenue= $350000.

           Cost of goods sold= $280000.

           Sales commission= $30000.

           Fixed operating cost= $90000.

Now, computing net profit or (loss)

Net profit/loss= \textrm{sales revenue - cost of goods sold- sales\ commission - Avoidable fixed\ operating\ costs}

∴ Net profit/loss= 350000-280000-30000-(90000\times 70\%)

⇒ Net profit/loss= 40000-(63000)= (\$ 23000)

∴ Net loss= \$ 23000

∴ Yes boot department should be closed, as Omaha department store is better off by $23000.

7 0
3 years ago
Anna has just opened her landscaping business in a new office/industrial park located within the city of Ashdown, Arkansas. Upon
tino4ka555 [31]

Answer:

The correct answer is c. enforceable as a private law.

Explanation:

Within a lease agreement, obligations are generated for both contractors. The owner of the property gives the right to enjoy it and this gives rise to a series of indispensable obligations for the preservation of the interests of the owner.

One of the obligations of the lessor is to keep the leased thing in good condition, to fulfill this obligation it is up to him to make the necessary repairs, because the tenants generally correspond to the lessee. But, the landlord has restrictions when performing such repairs.

6 0
2 years ago
Which of the following was the first nation to prosper due to the use of power equipment vice (might be via) hand tools?
kramer

Answer:

B). Great Britain

Explanation:

The first nation expanded due to the use of hand tools and power equipment was Great Britain. Its industries of handtools played a great role in flourishing the trade industries of Britain and gave a new significance to agricultural raw materials and craftsmen. The Great Britain's idea also gained from its rule of India as the Indian products suddenly raised demand in the market which compelled the state to bring a handmade craft revolution. Thus, <u>option B</u> is the correct answer.

3 0
3 years ago
The estimator determines who is responsible for what cost portion of supplying the temporary utilities.
MA_775_DIABLO [31]
This answer would be true
3 0
3 years ago
Read 2 more answers
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