By Using Automatic Reinvestment Plans,dividend and Capital Gains Are Used

question 64

True/False

By using automatic reinvestment plans,dividend and capital gains are used to automatically buy additional shares in the fund.

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Definitions:

NPV

Net Present Value, a financial metric that calculates the difference between the present value of cash inflows and outflows over a period of time.

Net Advantage to Leasing (NAL)

A calculation used to determine the financial benefits of leasing an asset as opposed to purchasing it.

NPV

Net Present Value, a financial metric that evaluates the profitability of an investment by calculating the difference between the present value of cash inflows and outflows.

Operating Lease

An agreement permitting the utilization of an asset without transferring ownership rights to the user.