Assume That Over the Last Several Decades,the Total Annual Returns

question 14

Multiple Choice

Assume that over the last several decades,the total annual returns on large-company common stocks averaged 12.1 percent,small-company stocks averaged 16.5 percent,long-term government bonds averaged 6 percent,and U.S.T-bills averaged 3.4 percent.What was the average excess return earned by long-term government bonds,and small-company stocks respectively?

• A)1.8 percent; 13.3 percent
• B)2.6 percent; 13.1 percent
• C)2.6 percent; 4.4 percent
• D)1.9 percent; 5.1 percent
• E)4.4 percent; 2.6 percent

---

Definitions:

Aversive Conditioning

A behavior-modification technique that involves teaching the individual to associate an undesirable behavior with an unpleasant stimulus.

Operant Conditioning

A method of learning that occurs through rewards and punishments for behavior, encouraging or discouraging certain behaviors.

Compulsive Habit

A behavior pattern that is repeated excessively and automatically, often without the individual's conscious intention.

Intake Interview

An initial meeting between a clinician and a client aimed at gathering information about the client's issues, history, and needs to inform treatment.