A household that invests its savings in the Standard and Poor’s 500 stock Index expects to...
A household that invests its savings in the Standard and Poor’s 500 stock Index expects to earn a return that is higher than that offered by the same investment in U.S. Government Treasury Securities.
TRUE OR FALSE
Homework Answers
Statement is true .
US securities are risk free and s&p securities are more risky. Therefore investor would expect more return as compared to treasury securities.
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A household that invests its savings in the Standard and Poor’s
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