Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

The principle of compounding implies that: a) a small difference in the rate of investment returns can have a large difference over a long period.

The principle of compounding implies that:

a) a small difference in the rate of investment returns can have a large difference over a long period.

b) we should diversify enough so that the returns on different stocks will be the same at some time in the future.

c)any difference in the rate of investment returns will stay constant over time.

d) a small difference in the rate of investment returns makes no difference over a long period.

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Business Forecasting

Authors: John E. Hanke, Dean Wichern

9th edition

132301202, 978-0132301206

More Books

Students also viewed these Finance questions

Question

Describe disk attachment technologies and common implementations

Answered: 1 week ago

Question

What is managements primary objective?

Answered: 1 week ago

Question

What is a classifi ed balance sheet?

Answered: 1 week ago