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.
True
Return to investment: margin+turnover
Margin-net operating income/ sales
Turnover-sales/average operating assets.
6 lollipops.
3 candy bars.
1 candy bar and 4 lollipops.
2 candy bars and 2 lollipops.