The Geometric Mean Return on Large-Company Stocks for the 1926-2012

question 45

Multiple Choice

The geometric mean return on large-company stocks for the 1926-2012 period:

• A)is approximately equal to the arithmetic mean return plus one-half of the standard deviation.
• B)exceeds the arithmetic mean return.
• C)is approximately equal to the arithmetic mean return minus one-half of the standard deviation.
• D)is approximately equal to the arithmetic mean return plus one-half of the variance.
• E)is less than the arithmetic mean return.

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Definitions:

Verbal Abilities

The capacity to use language effectively for communication, which includes both the understanding and production of spoken and written language.

Maccoby and Jacklin

Researchers known for their work on sex differences in psychology, concluding there are actual differences in certain cognitive and social behaviors between males and females.

Gender Differences

Variations in the characteristics, behavior, physical and mental attributes, and roles traditionally associated with males and females.

Mathematical Abilities

The capacity to understand, manipulate, and solve mathematical problems.