If the Canadian Bond Market's Historical Average Return and Standard

question 131

Multiple Choice

If the Canadian bond market's historical average return and standard deviation were 8% and 11%, respectively, what is the expected return next year using a 68% confidence interval?

• A) -3% to 19%
• B) 8% to 11%
• C) -14% to 30%
• D) -25% to 41%

---

Definitions:

Illegal Dividends

Dividends distributed by a company despite it not having sufficient profits or legally available capital, violating corporate law or its own articles of incorporation.

Shareholder's Derivative Suit

A legal action brought by shareholders on behalf of a corporation to enforce or defend its rights when the corporation's management fails to do so.

Black Market

An illegal trade of goods or services that violates governmental regulations, often to avoid taxes or because the goods are prohibited.

Duty of Loyalty

The legal obligation of fiduciaries to act in the best interests of their beneficiaries or the entity they serve.