Before Biases Are Considered,the Monetary Rate of Return to Investments

question 31

Multiple Choice

Before biases are considered,the monetary rate of return to investments in education is

• A) lower than that of most other investments.
• B) higher than that of most other investments.
• C) about the same as that of most other investments.
• D) higher for women, but lower for men.

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Definitions:

Outstanding Stock

The number of shares of a corporation that have been issued and are currently owned by shareholders.

Net Income

The amount of profit remaining after all expenses, including taxes and interest, have been deducted from total revenues.

Valuation Allowance

An accounting technique used to offset or reduce the carrying value of certain tax assets if it's more likely than not that they will not be realized.

Unrealized Gain

The increase in value of an asset or investment that has not been sold or exchanged, thus not yet generating cash.