The standard deviation of a portfolio is a function of the standard deviations of the individual securities in the portfolio, the proportion of the portfolio invested in those securities, and the correlation between the returns of those securities
Indicate whether the statement is true or false
TRUE
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Sharon, a salesperson for a greeting card company, is responsible for sales in the northern part of California. Sharon's manager has decided to change Sharon's key account in the territory to a house account. Why would Sharon most likely dislike this decision?
A. Sharon will have to share commissions from the key account with the home office. B. Sharon will lose the commission for the key account. C. Sharon will be demoted from her position in the territory for losing the key account. D. Sharon will have to work from the firm's home office. E. Sharon will have to monitor the key account for less pay than she usually earns.
Activity-based management includes all of the following except identifying
a. customer satisfaction with a product or service. b. the resources that are consumed by each activity. c. activities as value-adding. d. how resources are consumed by each activity.
Answer the following statement(s) true (T) or false (F)
1. The cognitive model of decision-making suggests that a decision-maker must have a clear goal and a comprehensive set of alternatives from which to choose, which are themselves weighted according to known criteria and preferences, and can choose the alternative that has the highest score. 2. The activity orientation of the culture might influence when a situation is defined as a problem. 3. The activity orientation of the culture might influence when a situation is defined as a problem. 4. Individual judgment boundaries exist because decision-makers often must deal with incomplete information about the problem, the decision criteria, and even their own preferences. 5. Heuristics are rules of thumb that people use to simplify decision-making.
A salesperson tells his customers that he will give them some freebies if they purchase laptops from his store. However, he has neither asked the store manager if he can do so nor checked if the shop has an adequate stock of freebies. As such, he is not able to deliver the freebies to his customers. Which decision-making trap does this scenario exemplify?
A. Promising too much B. Overlooking precedent C. Responding inappropriately to failure D. Assuming only one choice is right