Which of the Following Statements Is False

question 57

Multiple Choice

Which of the following statements is false?

• A)The purpose of investing in a closed-end fund,exchange-traded fund or open-end mutual fund is to earn a financial return.
• B)Income dividends are the earnings that a fund pays to shareholders from its dividend and interest income.
• C)Capital gain distributions are the payments made to a fund's shareholders that result from the sale of securities in the fund's portfolio.
• D)The only way to make money on a mutual fund is by selling shares at a higher price than was initially paid for them.
• E)Income dividends are taxable.

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Definitions:

Sample Size

The count of observations or duplicates that are part of a statistical sample.

Quality Control

The process of ensuring that products and services meet consistent standards and requirements through various checks and measures.

Defective Parts

Items or components that fail to meet quality specifications or standards within a manufacturing process.

Assembly Line

A manufacturing process in which parts are added to a product in a sequential manner to create a finished product efficiently.