1.

A stock returned -13 percent, 10 percent, and 3 percent, over the last 3 years, respectively. What is the standard deviation of these returns?

14.37 percent

13.31 percent

13.89 percent

14.21 percent

2.

Risk and reward are:

inversely related.

directly related.

related but the relationship is undefined.

unrelated.

3.

Which one of the following categories of securities had the most volatile rates of return over the period 1926-2010?

small-company stocks

long-term corporate bonds

large-company stocks

intermediate-term government bonds