Author Question: Is it possible for an investor to allocate more than 100 of their assets to the stock market? A) ... (Read 122 times)

formula1 · **on:** Jul 1, 2018

Is it possible for an investor to allocate more than 100 of their assets to the stock market?

A) No, this is not theoretically plausible.
B) No, federal law prohibits this kind of investment.
C) Yes, investors can borrow money to buy stocks on margin.
D) none of the above

Question 2

For U.S. consumers, the income elasticity of demand for fruit juice is 1.1. If the economy enters a recession next year and consumer income declines by 2.5, what is the expected change in the quantity of fruit juice demanded next year?

A) -2.75
B) +2.75
C) -27.5
D) +27.5