Which One of the Following Would Not Be Considered a Safe

question 79

Multiple Choice

Which one of the following would not be considered a safe investment for a conservative investor?

• A)Cash
• B)Certificates of deposit
• C)Savings accounts
• D)U)S.Government bonds
• E)Collectibles

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Definitions:

Capital Structure Decision

The choice a company makes regarding the mix of debt and equity that it uses to finance its operations.

Net Working Capital

A financial metric that calculates the difference between a company's current assets and its current liabilities.

Management Of Current Assets

The strategy of managing a company's short-term assets such as cash, inventory, and receivables.

Limited Partner

An investor in a partnership who has limited liability to the extent of their investment and does not partake in day-to-day management.