Chapter 9 And Chapter 10 Conceptual
Questions And Correct Detailed
Answers , Finance 3000 Practice Exam 3
| 2026 Latest Updated | Already Graded
A+ | Brand New!!!!!!
This includes any capital gain (or loss) that occurred as well as any income that you received
from a specific investment.
A. average return
B. dollar return
C. market return
D. portfolio - CORRECTANSWER B
This is the dollar return characterized as a percentage of money invested.
A. average return
B. dollar return
C. market return
D. percentage return - CORRECTANSWER D
This is a measure summarizing the overall past performance of an investment.
,A. average return
B. dollar return
C. market return
D. percentage return - CORRECTANSWER A
Which of these statements is true?
A. When people purchase a stock, they know exactly what their dollar and percent return are
going to be.
B. Many people purchase stocks as they find comfort in the certainty for this safe form of
investing.
C. When people purchase a stock, they know the short-term return, but not the long term
return.
D. When people purchase a stock, they do not know what their return is going to be - either
short term or in the long run. - CORRECTANSWER D
This is defined as the volatility of an investment, which includes firm specific risk as well as
market risk.
A. diversifiable risk
B. market risk
C. standard deviation
D. total risk - CORRECTANSWER D
This is a measure of risk to reward earned by an investment over a specific period of time.
A. coefficient of variation
B. market deviation
C. standard deviation
D. total variation - CORRECTANSWER A
, This index tracks 500 companies which allows for a great deal of diversification.
A. Nasdaq
B. Fortune 500
C. S&P 500
D. Wall Street Journal - CORRECTANSWER C
This is defined as a combination of investment assets held by an investor.
A. bundle
B. market basket
C. portfolio
D. All of these - CORRECTANSWER C
This is defined as the portion of total risk that is attributable to firm or industry factors and can
be reduced through diversification.
A. firm specific risk
B. market risk
C. modern portfolio risk
D. total risk - CORRECTANSWER A
This is the portion of total risk that is attributable to overall economic factors.
A. firm specific risk
B. market risk
C. modern portfolio risk
D. total risk - CORRECTANSWER B
Questions And Correct Detailed
Answers , Finance 3000 Practice Exam 3
| 2026 Latest Updated | Already Graded
A+ | Brand New!!!!!!
This includes any capital gain (or loss) that occurred as well as any income that you received
from a specific investment.
A. average return
B. dollar return
C. market return
D. portfolio - CORRECTANSWER B
This is the dollar return characterized as a percentage of money invested.
A. average return
B. dollar return
C. market return
D. percentage return - CORRECTANSWER D
This is a measure summarizing the overall past performance of an investment.
,A. average return
B. dollar return
C. market return
D. percentage return - CORRECTANSWER A
Which of these statements is true?
A. When people purchase a stock, they know exactly what their dollar and percent return are
going to be.
B. Many people purchase stocks as they find comfort in the certainty for this safe form of
investing.
C. When people purchase a stock, they know the short-term return, but not the long term
return.
D. When people purchase a stock, they do not know what their return is going to be - either
short term or in the long run. - CORRECTANSWER D
This is defined as the volatility of an investment, which includes firm specific risk as well as
market risk.
A. diversifiable risk
B. market risk
C. standard deviation
D. total risk - CORRECTANSWER D
This is a measure of risk to reward earned by an investment over a specific period of time.
A. coefficient of variation
B. market deviation
C. standard deviation
D. total variation - CORRECTANSWER A
, This index tracks 500 companies which allows for a great deal of diversification.
A. Nasdaq
B. Fortune 500
C. S&P 500
D. Wall Street Journal - CORRECTANSWER C
This is defined as a combination of investment assets held by an investor.
A. bundle
B. market basket
C. portfolio
D. All of these - CORRECTANSWER C
This is defined as the portion of total risk that is attributable to firm or industry factors and can
be reduced through diversification.
A. firm specific risk
B. market risk
C. modern portfolio risk
D. total risk - CORRECTANSWER A
This is the portion of total risk that is attributable to overall economic factors.
A. firm specific risk
B. market risk
C. modern portfolio risk
D. total risk - CORRECTANSWER B
