Which One of the Following Statements Is Correct

question 23

Multiple Choice

Which one of the following statements is correct?

• A)The standard deviation of the returns on Treasury bills is zero.
• B)Large-company stocks are historically riskier than small-company stocks.
• C)The variance is a means of measuring the volatility of returns on an investment.
• D)A risky asset will always have a higher annual rate of return than a riskless asset.
• E)There is an indirect relationship between risk and return.

---

Definitions:

Intense Interaction

A situation involving deep or meaningful communication or engagement between individuals, often requiring high levels of attention and emotional involvement.

Group Decision Making

The process of making choices or decisions within a group setting, often involving discussion, debate, and consensus-building.

Expands Alternatives

Increasing the range of options or solutions available for solving a problem or making a decision.

Group Decision Making

A collaborative process wherein multiple individuals work together to make choices or solve problems.