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Which of the following portfolios has the least risk? Select one: a. A portfolio of Treasury...

Which of the following portfolios has the least risk?

Select one:

a. A portfolio of Treasury bills

b. A portfolio of U.S. common stocks of large firms

c. A portfolio of long-term U.S. government bonds

d. A portfolio of U.S. common stocks of small firms

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Answer #1

The following portfolios has the least risk:-

a. A portfolio of Treasury bills

This is because treasury bills are guaranteed by the U.S government and are basically risk-free.

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