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Question When there are two risky assets, the number of correlations terms is 1. With three risky assets, the number of correlation terms is 3.

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Question When there are two risky assets, the number of correlations terms is 1. With three risky assets, the number of correlation terms is 3. How many correlation terms are there with four risky assets? 1) 4 2) 5 3) 6 4) 8 Question If you think the market is going to fall, you should hold a stock that has a beta of 1) -1.0 2) 0.0 3) 0.5 4) 1.0

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