Which of the Following Statements Is False

question 3

Multiple Choice

Which of the following statements is false?

• A) The expected return is the return that actually occurs over a particular time period.
• B) If you hold the stock beyond the date of the first dividend, then to compute your return you must specify how you invest any dividends you receive in the interim.
• C) The average annual return of an investment during some historical period is simply the average of the realized returns for each year.
• D) The realized return is the total return we earn from dividends and capital gains, expressed as a percentage of the initial stock price.

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Definitions:

Exaggerated Claim

A statement or claim that exceeds the truth or reality, usually made to deceive or mislead.

Fraudulent

Involves deceitful conduct designed to manipulate another person or entity, typically for personal gain.

Law

A system of rules that are created and enforced through social or governmental institutions to regulate behavior.

Tort Of Deceit

A legal wrong involving intentional misrepresentation or falsehood that causes harm to another.