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Which one of the following statements is correct? a. A risky asset will always earn a greater annual rate of return than a riskless asset.
Which one of the following statements is correct? a. A risky asset will always earn a greater annual rate of return than a riskless asset. b. U.S. Treasury bills have a risk premium equal to one percent . c. Largecompany stocks have historically been more risky than small-company stocks . d. The mean is a measure of volatility . e. There is a direct relationship between risk and return .
a. A risky asset will always earn a greater annual rate of return than a riskless asset.
b. U.S. Treasury bills have a risk premium equal to one percent .
c. Largecompany stocks have historically been more risky than small-company stocks .
d. The mean is a measure of volatility .
e. There is a direct relationship between risk and return .
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