Which of the Following Statements Is False

question 39

Multiple Choice

Which of the following statements is false?

• A) The Dow Jones Industrial Average went down by 40 percent during the decade of the 1930s.
• B) Based on data from the period between 1926 and 2004,the probability of having a positive return on an investment in the stocks contained in the Dow Jones Industrial Average would have been 97.1 percent if the stocks had been held for 10 years.
• C) When reading the stock market page of a newspaper,if the column marked "Div." is blank,it means that the company does not currently pay out dividends.
• D) A stock that yields 4 percent is better than a stock that yields 5 percent,all else being the same.

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Definitions:

Price Variance

The difference between the actual cost of a good or service and its planned or standard cost, indicating how effectively resources are being used.