Use the Table for the Question(s)below

question 28

Multiple Choice

Use the table for the question(s) below.
Consider the following three individuals portfolios consisting of investments in four stocks:
-Which of the following investments had the largest fluctuations in overall return over the past eighty years?

• A)Small stocks
• B)S&P 500
• C)Corporate bonds
• D)Treasury Bills

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Definitions:

Capital Balances

The amount of money invested in a business by its owners plus the retained earnings (or minus the losses).

Profits and Losses

The financial gains and shortfalls incurred by a business during its operations, reflecting the difference between revenues and expenses.

Invests

The action of allocating resources, usually money, with the expectation of generating an income or profit.

Equally

In a manner that divides or distributes something in equal portions or shares.