____ Would Not Be a Reason for Purchasing Mutual Funds

question 44

Multiple Choice

____ would not be a reason for purchasing mutual funds.

• A)Diversification
• B)Professional management
• C)Tax advantage
• D)Financial return
• E)Convenience

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Definitions:

CPI

This index tracks the overall price changes of a mix of consumer products and services like healthcare, transportation, and food by calculating their weighted average price.

Inflation Rate

A measure reflecting how much prices of goods and services have increased in a given period, reducing the purchasing power of money.

Market Basket

A set combination of goods and services used as a consistent measure to track the cost of living and inflation through price changes over time.

Basket of Goods

A selected group of products whose prices are tracked over time for the purpose of measuring inflation.