The addition of a foreign security to the portfolio of the investor decreases the expected return for a given level of risk, then the security adds value to the portfolio

Upon discovering that a salesperson in his office was receiving a referral fee from a local lender for every real estate loan the salesperson referred to the lender, the broker of record in that office took only two actions: He discharged the salesperson, and he warned all other salespersons in the office never to accept such fees. Based only on the foregoing, which of the following is most nearly correct:

A: The salesperson appears to be guilty of co-mingling; B: While the canons of business ethics may have been bent, no cause for action by the Commissioner exists; C: Since the broker was apparently unaware of the practice, only the salesperson can be disciplined; D: Both broker and salesperson may be subject to disciplinary action by the Commissioner.

Which does not make owning a home relatively more attractive than renting?

A) An increase in the rate of return on financial investments B) An increase in your marginal tax rate C) An increase in the expected future price of housing D) A reduction in mortgage interest rates