Answer the true or false statement

1.In their latest 10-K filing Starbucks identifies new ESG reporting rules as a source of increased costs.

true or false

2.The value of the Starbucks brand is at risk from business incidents so managing this risk by addressing and anticipating damaging incidents is fundamental to the success of Starbucks.

true or false

3.

time

Returns on Project A Returns on Project B

1 70.00% 63.00%

2 -24.00% -21.60%

3 46.00% 41.40%

4 46.00% 41.40%

5 0.00% 0.00%

6 9.00% 8.10%

7 -83.00% -74.70%

8 68.00% 61.20%

9 -39.00% -35.10%

10 112.00% 100.80%

3.The risk of a portfolio composed of 50% in project A and 50% in project B is greater than the risk of either project A or Project B. True or false

4.The correlation of returns between project A and Project B is .75

true or false

5.The covariance between projects A and B is 20%

true or false

6.Investing 100% in project A is superior to the 50% project A, 50% project B portfolio.

true or false

7.Diversification across project A and B offers no benefits because the correlation between project returns is 1.

true or false