Homework Answers
Answer: True are
Option 1: Due diligence includes asking questions about how the business is run
Option 4: Due diligence is subjective and therefore highly required for every business.
Explanation: Due diligence is the care that is exercised to know about business, it's an investigation or audit that is done to know business
It includes:
Pre analysis of financial business case
Full check of documents
Risk analysis
Project analysis
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Test - Tax in Small Section 2 Question 3 of 6. Which of the following statements...
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QUESTION 18
Which of the following statements is CORRECT?
1.
An investor can eliminate virtually all diversifiable risk if
he or she holds a very large, well-diversified portfolio of
stocks.
2.
Once a portfolio has about 40 stocks, adding additional stocks
will not reduce its risk by even a small amount.
3.
It is impossible to have a situation where the market risk of
a single stock is less than that of a portfolio that includes the
stock.
4.
An...
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QUESTION 18
Which of the following statements is CORRECT?
1.
An investor can eliminate virtually all diversifiable risk if
he or she holds a very large, well-diversified portfolio of
stocks.
2.
Once a portfolio has about 40 stocks, adding additional stocks
will not reduce its risk by even a small amount.
3.
It is impossible to have a situation where the market risk of
a single stock is less than that of a portfolio that includes the
stock.
4.
An...
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