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NEW QUESTION: 1
Which of the following statements is true in relation to the capital markets line (CML):
I. The CML is a transformation line that is tangential to the efficient frontier II. The CML allows an investor to obtain the highest return for a given level of risk chosen according to the investor's risk attitude III. The CML is the line passing through the point on the efficient frontier with the highest Sharpe ratio, and a y-intercept equal to the risk free rate IV. The Sharpe ratio for the points on the CML increase in a linear fashion
A. I and II
B. II, III and IV
C. I, II and III
D. I and III
Answer: C
Explanation:
Explanation
The highest possible transformation line, ie the transformation line with the maximum slope, is the transformation line joining the risk free rate on the y-axis and the portfolio with the maximum Sharpe ratio on the efficient frontier. This line is called the 'capital markets line'. Investors can pick any point on this line according to their risk appetite, and doing so would maximize the return they can obtain for their desired level of risk. The capital markets line is tangential to the efficient frontier. The Sharpe ratio stays constant throughout the CML. Therefore statement IV is not true, while the rest are.

NEW QUESTION: 2
Which of the following devices transmits data to all ports regardless of final destination?
A. Switch
B. Hub
C. Router
D. Firewall
Answer: B
Explanation:
Reference:http://www.practicallynetworked.com/networking/howhub.htm

NEW QUESTION: 3
Which e-mail templates can you manage within the Console?
Note: There are 3 correct answers to this question.
A. TFA E-mail Verification
B. E-mail Verification
C. Account Update
D. Account Deletion
E. Account Linking
Answer: A,B,D