The Fact That Historical Returns on Treasury Bills Are Less

question 11

Multiple Choice

The fact that historical returns on Treasury bills are less volatile than common stock returns indicates that:

• A) the variance of Treasury bill returns is zero.
• B) the standard deviation of Treasury bill returns is negative.
• C) the real return on Treasury bills has been negative.
• D)common stocks should offer a higher return than Treasury bills.

---

Definitions:

Keep Source Formatting

A feature in software applications that maintains the original formatting of copied or moved content when it is pasted into a new location.

SmartArt Text Pane

A feature in office software used to enter and edit the text content of SmartArt graphics, providing a way to visually represent information.

SmartArt Diagram

A graphical representation tool within Microsoft Office programs that allows users to create professional-quality diagrams and graphics.

Arched Path

Typically refers to a curved trajectory or route, often used in design and architecture to create visually appealing structures.