A Bond Has an Average Return of 6

question 31

Multiple Choice

A bond has an average return of 6.8 per cent and a standard deviation of 4.6 per cent.What range of returns would you expect to see 68 per cent of the time?

• A)2.2 per cent to 11.4 per cent
• B)4.6 per cent to 11.4 per cent
• C)4.6 per cent to 22.8 per cent
• D)11.4 per cent to 22.8 per cent
• E)11.4 per cent to 16.0 per cent

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Definitions:

Polyandry

A form of marriage in which a woman has two or more husbands at the same time.

Monogamy

One person is married exclusively to another person.

Exclusively Married

A state or condition in which individuals are married and do not engage in marital relationships with anyone else.

Nuclear

Refers typically to a nuclear family, a family unit consisting of two parents and their children, as opposed to extended family.