The global minimum variance portfolio formed from two risky securities will be riskless when the correlation coefficient between the two securities is

A. 0.0.
B. 1.0.
C. 0.5.
D. –1.0.
E. any negative number.


D. –1.0.

The global minimum variance portfolio will have a standard deviation of zero whenever the two securities are perfectly negatively correlated.

Business

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BlueBear is a shoe manufacturer based in the United States. Which of the following indicates that the company is following a market development strategy?

A) BlueBear introduces a line of children's clothing to its current target market. B) BlueBear employs a British comedian for a U.S. advertising campaign. C) BlueBear introduces its shoes in the Indian and South-East Asian markets. D) BlueBear adds a line of leather purses to its offerings in the U.S. market. E) BlueBear develops a line of athletic shoes for its current target market.

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Which of the following is NOT one of the forces that drives countries to form regional market zones?

A. religious values B. geographic proximity C. cultural similarities D. political E. economic

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Only permanent accounts appear on the post-closing trial balance

Indicate whether the statement is true or false

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When the CEO of an organization redesigns the organizational chart to define different reporting relationships among the organization's managers, she is essentially creating ________ groups.

A. self-managed B. command C. informal D. virtual E. interest

Business