3
QuizMultiple Choice

Interest Data — Quiz

Question 3 • Advanced Financial Algebra

A financial blog claims that a particular stock has consistently delivered a 10% return annually over the past five years. However, official stock market data shows the following annual returns for the past five years: 8% , 8% , 12% , 10% , and 7% How should a student assess the reliability of the blog's claim?

Answer
A
The blog is somewhat reliable even if the 10 percent return is not accurate.
B
The blog is unreliable as it does not match the official data.
C
The blog is unreliable because the returns vary each year.
D
The blog is reliable since the average return is approximately 10 percent.
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