Which of the Following Is Not a Disadvantage of Investing

question 44

Multiple Choice

Which of the following is not a disadvantage of investing in mutual funds?

• A)They do not outperform the market as a group
• B)Some mutual funds may be expensive to purchase
• C)Mutual funds provide more diversification than investing in individual securities.
• D)With 5,000 funds to choose from,the selection of a fund is just as difficult as selecting an individual stock

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Definitions:

Union Dues

Fees paid by workers to labor unions to cover the cost of union representation and activities.

Agent's Signature

An agent's signature is the act of signing documents by a person (the agent) who has been authorized to act on behalf of another person or entity (the principal), indicating consent or agreement.

Negotiable Instrument

A written document guaranteeing the payment of a specific amount of money to a specified person or the bearer under particular terms.

Dishonored

Refused; specifically, a payment that has been refused despite a holder’s presenting an instrument in a timely and proper manner.