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NEW QUESTION: 1
Which of the following configuration settings is a prerequisite to ensure the explosion of a bill of material in the sales document?
A. For the subitem components of the bill of the material, a suitable item category must be determined using the item usage: BOM
B. The schedule line category of the main item must have the correct setting to allow the explosion of the bill of material
C. The item category of the main item must have the correct settings to allow the explosions of the bill of material
Answer: C

NEW QUESTION: 2
In the Markowitz model, portfolio risk:
A. can be greater than the simple weighted average of the risks of the individual securities in the portfolio.
B. does not depend on the relative weights of the securities in the portfolio.
C. is equal to the weighted sum of the standard deviations of each of the securities in the portfolio.
Answer: A
Explanation:
It is not just equal to the simple weighted average of the risks of the individual securities in the portfolio. It is also necessary to consider the covaraiances (or correlations) among the returns of the assets in the portfolio.