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What is the typical relationship between the standard deviation of an individual common stock and the standard deviation of a diversified portfolio of common stocks?
A. There is no way to predicts this relationship
B. The standard deviations should be equal
C. Individual stocks standard deviation will be higher
D. Individual stocks standard deviation will be lower
Please explain your reasoning behind your answer
Discuss at least two pricing strategies you can use to increase your revenues and analyze them in terms of their ability to generate additional profits. Indicate any additional assumptions you are making.
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