Historical Returns Support Which One of the Following Statements

question 28

Multiple Choice

Historical returns support which one of the following statements?

• A) Financial markets are highly inefficient as suggested by behavioral finance.
• B) Professional money managers tend to outperform the Vanguard 500 index fund about 60 percent of the time on average.
• C) The longer the time span, the more likely a professional money manager will outperform an index fund, such as the S&P 500.
• D) Historical data supports the statement that arbitrage results in a 100 percent totally efficient market.
• E) The financial markets appear to be highly efficient because, on average, they outperform professional money managers.

Identify the total fertility rate and its importance in population stability.

Analyze historical perspectives on population and economic theories.

Understand the role of technology and efficiency in resource use.

Explain the concept of demographic transition and its impact on population dynamics.

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Definitions:

Treasury Stock

Stocks that the issuing entity initially sold and then bought back, decreasing the total number of stocks available in the market.

Contra Equity

An equity account that reduces the total amount of equity, such as treasury stock or drawings account.

Asset Account

An asset account is a ledger account that tracks the value of assets owned by an individual or organization, including tangible and intangible items of value.

Stock Dividend

A payment made in the form of additional shares rather than cash, reflecting a company's desire to reward shareholders without reducing its cash reserves.