Describe the Three Defining Elements of Abnormal Behavior

question 18

Essay

Describe the three defining elements of abnormal behavior.

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Definitions:

Geometric Average Rate

The average compound return per period over a time span, useful for comparing different investments or portfolios.

Compounding

The process where the value of an investment increases because the earnings on an investment, both capital gains and interest, earn interest as time passes.

Return

The profit or loss derived from an investment over a certain period, expressed as a percentage of the investment's initial cost.

Concept

A general idea or understanding that is the foundation for further ideas, actions, or strategies.