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1)What are the main types of risk and to what extent can diversification reduce risks associated with stock portfolios? 2) Financial statement accounts Several types of balance sheet accounts are described below

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1)What are the main types of risk and to what extent can diversification reduce risks associated with stock portfolios?

2) Financial statement accounts Several types of balance sheet accounts are described below. Choose the correct account for each description. Account A B Account Description Money that customers owe the firm due to sales made on credit. All of the firm's liabilities expected to be due in the next year. Money the firm owes to its suppliers due to purchases made on credit A hybrid security that has the characteristics of both debt and common equity. Includes trademarks, patents, and goodwill from previous acquisitions. C D E A B ??? Which of the following statements accurately describes the balance sheet? Check all that apply. Shows asset, liability, and equity account values over a period of time Uses "current" to mean an account with an expected life of less than a year Shows operating performance over a period of time Shows asset, liability, and equity account values on a specific date.

3)Explain the four moments with respect to investing and specifically, to risk-return.  How does this link to normality assumptions?  What information does each contain?