In a portfolio, risk is evaluated in a different way than with an individual project. In evaluating portfolio, risk we
A) need to consider the impact of a given project on the overall risk of the firm.
B) recognize that a risky investment may create a portfolio with less risk.
C) need to consider how the returns of the projects in the portfolio are correlated.
D) All of these options are true.
Correct Answer:
Verified
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