Question

The difference between the expected return and the actual return is referred to as the unexpected gain or loss.

a.True
b.False

Answer 1

The difference between the expected return and the actual return is referred to as the unexpected gain or loss. The statement is a) true

Step-by-step explanation:

The statement is true. The difference between the expected return and the actual return is referred to as the unexpected gain or loss. Expected rate of return refers to the average return over a period of time that an investment is expected to provide.

The actual rate of return, on the other hand, is the total rate of return at the end of a time period, including capital gains and interest paid.