David Recently Received an Inheritance, and He Is Planning to Invest

question 510

Multiple Choice

David recently received an inheritance, and he is planning to invest the inheritance in one of four stock portfolios. Which of these portfolios would you expect to have the highest risk?​

• A)​A portfolio with an average annual rate of return of 5%.
• B)​​A portfolio with an average annual rate of return of 8%.
• C)​​A portfolio with an average annual rate of return of 10%.
• D)​​A portfolio with an average annual rate of return of 14%.

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Definitions:

Depositions

Sworn out-of-court testimony given by a witness as part of the pretrial discovery process in a lawsuit.

Testimony

The formal statement or declaration of a witness under oath, typically given in court or legal proceedings.

Oath

A solemn promise, often invoking a divine witness, regarding one's future action or behavior.

Summary Judgment

A legal decision made by a court without a full trial, based on submitted evidence, when there's no dispute on the material facts.