The Small-Firm Effect Refers to the

question 21

Multiple Choice

The small-firm effect refers to the

• A)negative returns earned by small firms.
• B)returns equal to large firms earned by small firms.
• C)abnormally high returns earned by small firms.
• D)low returns after adjusting for risk earned by small firms.

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Definitions:

DC Circuit

A circuit that has a constant direction of flow of electric current, typically using direct current (DC) as its power source.

Directly Proportional

A relationship between two variables where if one increases, the other one also increases at a constant ratio.

Inversely Proportional

A relationship between two variables where when one variable increases, the other decreases at a rate that maintains the constant product of the two variables.

Power Source

A component or system that provides electrical power to a circuit or device.