Everything Else Held Constant,if the Expected Return on U

question 81

Multiple Choice

Everything else held constant,if the expected return on U.S. Treasury bonds falls from 10 to 5 percent and the expected return on GE stock rises from 7 to 8 percent,then the expected return of holding GE stock ________ relative to U.S. Treasury bonds and the demand for GE stock ________.

• A)rises;rises
• B)rises;falls
• C)falls;rises
• D)falls;falls

---

Definitions:

Newborns

Infants in their first few hours to weeks of life, characterized by rapid physiological and developmental changes.

Nursery

A room or place specifically designed for the care and growth of young children or plants.

Wallpaper

Decorative paper or fabric applied to the walls of a room to enhance its appearance and give it character.

Cigarettes

Narrow cylinders containing psychoactive material, typically tobacco, that are rolled into thin paper for smoking.