What Is the Probability That Small-Company Stocks Will Produce an Annual

question 39

Multiple Choice

What is the probability that small-company stocks will produce an annual return that is more than one standard deviation below the average?

• A) 1.0 percent
• B) 2.5 percent
• C) 5.0 percent
• D) 16 percent
• E) 32 percent

---

Definitions:

Envy

A feeling of discontented or resentful longing aroused by someone else's possessions, qualities, or luck.

Negative Emotion

Unpleasant or adverse feelings triggered by the perception of undesirable situations, events, or interactions.

Dimension

A measurable extent of some kind, such as length, width, height, or in broader contexts, an aspect or feature of a situation, problem, or thing.

Mood Congruency

The phenomenon where an individual's current mood influences their thoughts, behaviors, and perceptions in a way that is consistent with the mood.