The principle of risk-return trade-off means that
A) higher risk investments must earn higher returns.
B) an investor who takes more risk will earn a higher return.
C) an investor who bought stock in a small corporation five years ago has more money than an
investor who bought U.S. Treasury bonds five years ago.
D) a rational investor will only take on higher risk if he expects a higher return.
D
You might also like to view...
We make choices concerning which of the factors of the influence picture:
a. the world and our behaviors b. the world and our attitudes c. the world, our behaviors, and ourselves d. the world, our attitudes, and ourselves
Deductive Organizational Pattern ? Outlining your messages to meet your receiver's expectations will increase your chances of preparing a document that elicits the response you desire. Most good-news and routine messages use the deductive organizational pattern. Exceptions occur when the cultural context and audience expectations call for an alternate approach. Choose the correct section of the
direct outline to complete the sentence. The _________ of a direct message restates the main point and includes a future-looking statement. A. reflection B. opening C. body D. closing Fill in the blank(s) with correct word
An insurance company may avoid liability if the insured concealed information on the
application to obtain insurance coverage. Indicate whether the statement is true or false
Which of the following statements about covered perils under the personal property coverage (Coverage C) of the Homeowners 3 policy is true?
A) Theft losses to boats and watercraft are covered only if they occur at the insured's residence. B) Damage from an explosion is covered only if the explosion is the result of fire or lightning. C) Property damage from vehicles is covered only if it is caused by the insured. D) Smoke damage is covered only if it arises from agricultural or industrial operations.