The Weighted Average of the Returns Across All Possible States

question 23

Multiple Choice

The weighted average of the returns across all possible states of the world,where the weights are equal to the probabilities with which the different states occur is called ???????????_________.The ________ indicates how great the return is expected to be "on average."

• A) Distribution; variance
• B) The expected value; expected return
• C) Rate of return; expected value
• D) Variance; distribution

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Definitions:

Descendant Organism

A descendant organism is an organism that has descended from a specific ancestor, representing subsequent generations in the evolutionary timeline.

Novel Traits

New or unique characteristics that arise in a species, often playing a significant role in the process of evolution.

Derived Character

A trait that evolved in the lineage leading up to a clade and that sets members of that clade apart from other individuals.

Cladistic Character

A feature of organisms used in cladistics to help establish evolutionary relationships, focusing on shared derived characteristics.