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Studies of rates of return on large stocks suggest.
a. the average return is about 7.4 percent annually.
b. over a period of years, the rate is approximately 10 percent.
c. equity investors rarely sustain losses.
d. dividends account for over half the return
Solution
Studies of rates of return on large stockssuggests that over a period of years, the rateis
approximately 10 pecent.why becasuse large stocks will perform well in long run.
Therefore, option b. is correct.

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