Making a Loan Is Generally _______ Than Buying Stock, and It

question 74

Multiple Choice

Making a loan is generally _______ than buying stock, and it earns a _______ return.

• A) less risky; lower
• B) less risky; higher
• C) riskier; lower
• D) riskier; higher

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Definitions:

Definitive Conclusion

A definitive conclusion is a final determination or decision reached based on evidence or data, leaving no room for doubt or ambiguity.

Nominal Data

Data classified into categories that cannot be ordered in a meaningful way. Each category is mutually exclusive.

Gender

Represents a category of either male, female, or other, used to distinguish between biological and social differences in individuals.

Nonparametric Technique

A type of statistical method that does not assume a particular distribution shape for the data, thus making it useful for data that doesn't fit normal distribution models.