5. Which of the following is not a money market instrument? A. Eurodollar B. Treasury bill C. Preferred stock D. Commercial paper 6. The most important criteria when adding new investments to a portfolio is the A. Expected return of the new investment. B. Standard deviation of the new investment. C. Correlation of the new investment with the portfolio. D. None of the above. 3 7. The betas for the market portfolio and risk-free security are _______ and _______ respectively. A. 0; 1 B. 1; 0 C. -1; 0 D. 1; -1 8. Which of the following statements for puts at expiration is least accurate? A. The put buyers maximum loss is the put options premium. B. The maximum loss to the writer of a put is the strike price less the premium. C. The put holder will exercise the option whenever the exercise price is greater than the stock price. D. The put holder will not exercise the option whenever exercising the option incurs loss.