Author Question: Rather than invest in the stock of just one or two companies, you purchase a variety of different ... (Read 38 times)

rmenurse · **on:** Jul 14, 2018

Rather than invest in the stock of just one or two companies, you purchase a variety of different types of investments in order to minimize risk. This is known as:
A) insider trading.
B) dollar-cost averaging.
C) investment apportionment.
D) asset allocation.
E) asset turnover.

Question 2

Tom works on a landscaping team and has twice the output of other members of this team. Tom just found out that all team members are paid the same. According to equity theory, what is his likely reaction?
A) Ask for a raise.
B) Work harder.
C) Rationalize the rewards of his team members.
D) Rationalize that he does not deserve higher rewards.
E) Leave things as they are.