The histograms of the returns on large-company and small-company stocks for the period 1926 to 2015 show that

Multiple Choice

• large-company stocks never lost more than 20 percent in any one year.

• 1945 was the best-performing year for both large-company and small-company stocks.

• small-company stocks most commonly return 30 to 40 percent.

• small-company stocks are more volatile than large-company stocks.

• large-company stocks are riskier than small-company stocks.