Historical Studies of Rates of Return on Large Stocks Suggest

question 24

Multiple Choice

Historical studies of rates of return on large stocks suggest

• A)the average return is about 6.4 percent annually
• B)over a period of years, the rate approximates 9-10 percent
• C)equity investors rarely sustain losses
• D)dividends account for over half the return

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Definitions:

Visual System

The part of the central nervous system that allows organisms to process visual detail, including the eye, optic nerve, and brain regions involved in vision.

Wavelengths

The distance between successive crests of a wave, especially points in sound waves or electromagnetic waves.

Colorblindness

A condition in which individuals are unable to perceive certain colors in the way most people do, resulting from abnormalities in the color sensors in the eyes.

Depth Perception

The ability to perceive objects three dimensionally.