Participation in affinity groups decreases an individual's sense of isolation in a work culture.

a. true
b. false

Answer: a. true

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When Shop Smart opened its first super market in China it was unable to generate any sales

After conducting a research, it was understood that the local sales personnel found it difficult to communicate with the American store managers. In addition, Chinese consumers found it difficult to shop in the American way. Shop Smart's failure in China can be attributed to the lack of: A. cross-cultural literacy. B. class consciousness. C. a first-mover advantage. D. Confucian dynamism. E. ethnocentrism.

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An investor is considering investing one-half of his wealth in Asset A and one-half in Asset B. He is not sure how the two assets are correlated. The correlation might be r = +1 or it might be r = -1

If it is r = + 1, then the portfolio standard deviation is 15%. Calculate the portfolio standard deviation if the correlation is r = -1. What is the difference between the standard deviations of Scenario 1 and Scenario 2? (Scenario 1 - Scenario 2 ) ASSET A ASSET A ASSET B ASSET B Correlation Scenario Expected Return Standard Deviation Expected Return Standard Deviation Correlation of A and B 1 10% 20% 5% 10% +1 2 10% 20% 5% 10% -1 A) 2.5% B) 5.0% C) 7.5% D) 10.0% E) 15.0%

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