You Have the Following Rates of Return for a Risky

question 23

Multiple Choice

You have the following rates of return for a risky portfolio for several recent years:
2013 35.23%
2014 18.67%
2015 −9.87%
2016 23.45%
If you invested $1,000 at the beginning of 2013, your investment at the end of 2016 would be worth ________.

• A) $2,176.60
• B) $1,785.56
• C) $1,645.53
• D) $1,247.87

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Definitions:

Over Time

The progression or development of something as duration passes.

Differential Susceptibility

The idea that people vary in how sensitive (for better or worse) they are to particular experiences, either because of their genes or because of their past experiences. (Also called differential sensitivity.)

Environmental Influences

Factors external to the individual, such as climate, culture, and social conditions, that can affect development and behavior.

Cohort Differences

Variations in characteristics, experiences, or development among groups of individuals who are defined by some shared temporal experience or common life experience.