As we increase the number of stocks in a portfolio, the standard deviation of returns of the portfolio ________

In terms of laws that apply to the selection process, which of the following statements is FALSE?

A. Under the Americans with Disabilities Act, preemployment questions may not investigate disabilities. B. The Civil Rights Act of 1991 explicitly prohibits race and sex norming. C. The Fair Credit Reporting Act requires that employers obtain a candidate's consent before using a third party to check the candidate's credit history. D. Under the Immigration Reform and Control Act of 1986, employers may no longer hire individuals who do not hold U.S. citizenship

The stock of a technology company has an expected return of 15% and a standard deviation of 20% The stock of a pharmaceutical company has an expected return of 13% and a standard deviation of 18%

A portfolio consisting of 50% invested in each stock will have an expected return of 14 % and a standard deviation A) less than the average of 20% and 18%. B) the average of 20% and 18%. C) greater than the average of 20% and 18%. D) the answer cannot be determined with the information given.