A Common Strategy for Passive Management Is

question 19

Multiple Choice

A common strategy for passive management is

• A)creating an index fund.
• B)creating a small firm fund.
• C)creating an investment club.
• D)creating an index fund and creating an investment club.

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Definitions:

Accounts Payable

Debts a company incurs from acquiring goods and services on credit, which are due to be paid to creditors.

Salaries Expense

The total amount paid to employees for services rendered during a specific period, reported on the income statement.

Credit Balance

The amount of money in a financial account that indicates a creditor's position; it can also mean the positive balance in a customer's account.

Wages Payable

Wages payable are the amounts owed to employees for work performed that have not yet been paid; it is a liability on the company's balance sheet.