The Typical Expense Ratio for an Index Fund Is

question 82

Multiple Choice

The typical expense ratio for an index fund is:

• A)0.50 percent or less.
• B)between 0.50 and 1 percent.
• C)between 1 and 2 percent.
• D)between 2 and 3 percent.
• E)over 5 percent.

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Definitions:

Investment

The process of assigning funds or other resources with the aim of earning returns or profits.

Five-Year Period

A duration or span of time that lasts for five consecutive years.

Stock Valued

The process of determining the intrinsic value of a stock based on predictions of future earnings and the company's overall financial health.

Increased

An upward adjustment in quantity, size, intensity, or the like.