Which of the Following Is Correct

question 2

Multiple Choice

Which of the following is correct?

• A)Over a long time frame, stocks have performed better than long-term Treasury bonds.
• B)Average stock returns are not an indication of what an investor may earn in any one year.
• C)In some years, long-term Treasury bonds performed better than stocks.
• D)All of these statements are correct.

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Definitions:

Deferred Tax Liability

A tax obligation that a company owes but is not required to pay until a future date, often resulting from differences in accounting practices.

Tax Laws

The legal standards and regulations governing the collection of taxes by the government from individuals and entities.

Deferred Tax Liability

A tax obligation that a company owes but does not have to pay until a future date, usually due to timing differences between accounting practices and tax laws.

Tax Liability

The total amount of taxes owed by an individual, company, or other entity to a taxing authority.