If the Actual Return on an Investment Is Different from the Expected

question 70

Multiple Choice

If the actual return on an investment is different from the expected return, then it is likely that:

• A) When investors estimated the expected return they correctly weighed all of information that they believed would bear on the investment.
• B) Interest rates remained unchanged after the expected return was computed.
• C) Even though the expected return was incorrect, the normal return was estimated accurately.
• D) Some unanticipated information about the investment was revealed after the expected return was computed.
• E) Investors didn't use all relevant information that was available when computing the expected return.

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Definitions:

Horizontal Transfer

The process in which an employee moves to a different job at the same level of hierarchy in an organization, often to gain varied experience or utilize different skills.

Near Transfer

The application of learned skills and knowledge to similar contexts or situations that are closely related to the original learning environment.

Learning Transfer System Inventory

A tool designed to assess how well an organization supports the application of new skills and knowledge gained through training.

Transfer Resistance Points

Challenges or obstacles that hinder the successful application of learned skills or knowledge in different or real-world settings.