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Last Year,T-Bills Returned 2 Percent While Your Investment in Large-Company

question 51

Multiple Choice

Last year,T-bills returned 2 percent while your investment in large-company stocks earned an average of 5 percent.Which one of the following terms refers to the difference between these two rates of return?


Definitions:

Distance

The numerical measure of how far apart objects or points are.

Average Speed

The overall rate of speed of a moving object, calculated as the total distance traveled divided by the total time of travel.

Algebraic Expression

A mathematical phrase that includes numbers, variables, and operation symbols but no equal sign.

Sales Tax

A percentage of the sale price collected by the government on goods and services.

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