Which of the Following Statements Is True

question 28

Multiple Choice

Which of the following statements is true?

• A) On average, smaller stocks have lower volatility than Treasury bills.
• B) Portfolios of smaller stocks are typically less volatile than individual small stocks.
• C) On average, smaller stocks have lower returns than larger stocks.
• D) On average, Treasury bills have higher returns than world stocks.
• E) Portfolios of large stocks are typically more volatile than individual small stocks.

---

Definitions:

Favorable Response

A positive reply or reaction to a request, proposal, or situation.

Recommendations Placement

The strategic positioning of suggestions or advice, often in a document or presentation, to ensure maximum impact.

Knowledge Management System

A technology-based system designed to help organizations capture, store, and manage knowledge to improve various processes.

Centralized Database

A database located and maintained in a single location, accessible by users from different locations through a network.