A Stock Is Projected to Return 15% During Economic Booms

question 2

Multiple Choice

A stock is projected to return 15% during economic booms, -4% during recessions and 8% otherwise. If reports indicate the probability of a boom has decreased what would happen to the stock's expected return?

• A) There would be no change to the expected return.
• B) The expected return would increase.
• C) The expected return would decrease.
• D) The expected return would increase or remain constant.
• E) The expected return would decrease or remain constant.

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Definitions:

Carpels

The female reproductive organ of a flower, consisting of an ovary, a stigma, and usually a style.

Mature Ovary

The part of the female reproductive organ in angiosperms that has completed its development phase, typically containing the ovules and ready for fertilization.

Stigmatized Pollen Grain

a pollen grain that has been rejected or marked negatively by stigma cells, potentially due to species incompatibility in plant reproduction.

Megaspore

The larger type of spore in some plants that develops into a female gametophyte.