When Ranking Security Returns, the Data Shows That the Annualized

question 42

Multiple Choice

When ranking security returns, the data shows that the annualized returns are as follows (ranked from highest return to lowest return) :

• A)Large stocks, small stocks, long-term corporate bonds, long-term government bonds, treasury bills.
• B)Small stocks, large stocks, long-term corporate bonds, long-term government bonds, treasury bills.
• C)Small stocks, large stocks, treasury bills, long-term government bonds, long-term corporate bonds.
• D)Treasury bills, long-term government bonds, long-term corporate bonds, large stocks, small stocks.
• E)Large stocks, small stocks, long-term government bonds, long-term corporate bonds, treasury bills.

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Definitions:

Equation

A mathematical declaration affirming that two expressions hold equal values.

Solution

A means by which an issue or problem is solved, or in chemistry, a homogenous mixture of two or more substances.

Absolute Value

A measure of a number's distance from zero, regardless of direction on the number line, represented by \(|x|\).

Set Notation

A symbolic way of representing and specifying a set and its elements using curly brackets and specific symbols.