Fani Warraich MANAGEMENT SCIENCES   -   Investments & Portfolio Management

The Capital Asset Pricing Model (CAPM) suggests that the expected return of an asset is primarily influenced by

A) Past returns are not a component of CAPM's expected return calculation. B) Standard deviation represents total risk, but CAPM focuses on systematic risk. C) CAPM states that the expected return of an asset is proportional to its systematic risk, often measured by beta. D) CAPM assumes away unsystematic risk through diversification.
Fani Warraich MANAGEMENT SCIENCES   -   Investments & Portfolio Management

Which of the following investment styles involves selecting stocks based on their price-to-earnings ratio and other fundamental indicators?

Growth investing focuses on companies with high growth potential. B) Value investing seeks stocks that are undervalued based on fundamental analysis like price-to-earnings ratio. C) Momentum investing capitalizes on the continuation of existing trends. D) Contrarian investing involves going against prevailing market trends.
Fani Warraich MANAGEMENT SCIENCES   -   Investments & Portfolio Management

Which of the following is NOT considered a primary characteristic of an efficient market?

A) Low transaction costs are a characteristic of an efficient market. B) Rapid dissemination of information ensures that prices reflect all available information. C) No arbitrage opportunities indicate that prices quickly adjust to new information.
Fani Warraich MANAGEMENT SCIENCES   -   Investments & Portfolio Management

In the context of Modern Portfolio Theory, the efficient frontier represents:

A) The efficient frontier includes portfolios that maximize return for a given level of risk. B) It's not solely about lowest volatility but about achieving the maximum return for a given level of risk. C) The efficient frontier considers risk-adjusted returns, not just Sharpe ratio.
Fani Warraich MANAGEMENT SCIENCES   -   Investments & Portfolio Management

Which of the following measures assesses the risk-adjusted performance of an investment portfolio?

A) Tracking error measures the deviation of portfolio returns from the benchmark. B) Sharpe ratio evaluates the excess return of a portfolio per unit of risk (usually standard deviation). C) Treynor ratio measures the excess return per unit of systematic risk. D) Sortino ratio measures downside risk-adjusted return.
Fani Warraich MANAGEMENT SCIENCES   -   Marketing

Which of the following marketing channels involves using opinion leaders to promote products or services to their followers?

Influencer marketing involves partnering with influencers or opinion leaders to promote products or services to their followers. This can be an effective way to reach new audiences and build brand credibility.
Fani Warraich

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Fani Warraich MANAGEMENT SCIENCES   -   Marketing

Which of the following marketing strategies involves creating a unique and memorable brand identity to differentiate a product or service from competitors?

Branding involves creating a unique and memorable brand identity to differentiate a product or service from competitors. This includes elements such as logos, taglines, and brand messaging.
Fani Warraich MANAGEMENT SCIENCES   -   Marketing

Which of the following marketing metrics measures the return on investment (ROI) of a marketing campaign by comparing the revenue generated to the cost of the campaign?

Marketing Return on Investment (MROI) is a key metric that helps marketers evaluate the effectiveness of their campaigns. It calculates the return on investment by comparing revenue generated to campaign costs.
Fani Warraich MANAGEMENT SCIENCES   -   Marketing

Which of the following consumer behavior models suggests that consumers go through a process of need recognition, information search, evaluation of alternatives, purchase, and post-purchase evaluation?

The Consumer Decision-Making Process is a widely accepted model that describes the stages consumers go through when making purchasing decisions. It helps marketers understand consumer behavior and develop effective marketing strategies.
Fani Warraich MANAGEMENT SCIENCES   -   Marketing

Which of the following marketing strategies involves creating a series of small, incremental product improvements to maintain customer interest and loyalty?

Continuous innovation involves making small, incremental improvements to existing products to maintain customer interest and loyalty. This strategy is often used by companies to stay ahead of competitors and keep customers engaged.

MANAGEMENT SCIENCES