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TRUE / FALSE 1. Geometric averages reflect compounding, while arithmetic averages do not reflect compounding. 2. Historically, small cap stocks outperform large cap stocks, and

TRUE / FALSE

1. Geometric averages reflect compounding, while arithmetic averages do not reflect compounding.

2. Historically, small cap stocks outperform large cap stocks, and bonds outperform stocks on average.

3. A forward contract is described by agreeing today to buy a product at a later date at a price to be set in the future.

4. The buyer of a forward contract will be taking delivery of the good(s) today at today's price.

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