Assume that the market prices of the securities that trade in a particular market fairly reflect the available information

Which one of the following is defined by its mean and its standard deviation?    A.  arithmetic nominal return B.  geometric real return C.  normal distribution D.  variance E.  risk premium Refer to section 12.4

5.	The average compound return earned per year over a multi-year period is called the _____ average return.    A.  arithmetic B.  standard C.  variant D.  geometric E.  real Refer to section 12.5

6.	The return earned in an average year over a multi-year period is called the _____ average return.    A.  arithmetic B.  standard C.  variant D.  geometric E.  real Refer to section 12.5

7.

Assume that the market prices of the securities that trade in a particular market fairly reflect the available information related to those securities. Which one of the following terms best defines that market?    A.  riskless market B.  evenly distributed market C.  zero volatility market D.  Blume's market E.  efficient capital market Refer to section 12.6