The Primary Assets of a Pension Fund Are

question 5

Multiple Choice

The primary assets of a pension fund are

• A)money market instruments.
• B)corporate bonds and stock.
• C)consumer and business loans.
• D)mortgages.

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Definitions:

Asset Sales

The process of selling assets of a company, often to generate cash or reduce liabilities.

Trade or Business

This refers to the regular and continuous operation of an activity with the purpose of earning income or profit.

Depreciation

An accounting method of allocating the cost of a tangible or physical asset over its useful life to account for declines in value.

Ordinary Assets

Assets that are held for sale in the ordinary course of a business or are otherwise not capital assets, including inventory and property used in a trade or business.