Which of the Following Statements Concerning Historical Investment Risk and Return

question 26

Multiple Choice

Which of the following statements concerning historical investment risk and return is false?

• A) The geometric mean of the rates of return was always lower than the arithmetic mean of the rates of return.
• B) The rates of return on long-term Canadian government bonds were lower than on stocks.
• C) Real estate investments consistently provide higher rates of return than those provided by common stock.
• D) Stocks and bonds experienced results in the middle of the art and antiques series.
• E) None of the above statements are false.

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Definitions:

Price Falls

A situation where the price of goods or services decreases in the market due to various factors like excess supply, reduced demand, or external economic conditions.

Consumer Considers

Factors or elements that consumers take into account when making purchasing decisions.

Value

The importance, worth, or usefulness of something, often in terms of monetary worth.

Price

The amount of money required to purchase a good or service.