Which of the following is generally considered to represent the risk-free return?
A) Common stocks.
B) Treasury bills.
C) Small stocks.
D) Long bonds.
E) Inflation.

Question

Quizplus · Accepted Answer

Treasury bills are generally considered to represent the risk-free return because they are backed by the full faith and credit of the issuing government, making them virtually free of credit risk.

Which of the Following Is Generally Considered to Represent the Risk-Free