You Are Thinking of Investing in One of Two Assets

question 76

Multiple Choice

You are thinking of investing in one of two assets. Asset A has higher systematic risk than asset B. You can be sure that asset A's ________ return will be higher than asset B's, but you can't be sure if asset A's ________ return will be higher than asset B's.

• A) realized; expected
• B) real; nominal
• C) expected; realized
• D) nominal; expected

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Definitions:

Zygote Germination

The process by which a zygote begins to grow and develop into a new organism, typically after a period of dormancy in plants.

Meiosis

A type of cell division that reduces the chromosome number by half, resulting in the production of gametes or spores.

Zoosporangium

A structure in fungi and some algae that produces zoospores, which are a type of motile spore.

Resting Sporangium

The structure in fungi and plants where spores are produced and stored, typically dormant until favorable conditions arise.