Which Type of Financial Asset Is Most Likely to Earn

question 56

Multiple Choice

Which type of financial asset is most likely to earn a higher rate of return?

• A) Stocks
• B) Bonds
• C) Mutual funds
• D) Savings accounts

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Definitions:

Party

A person or entity involved in a legal transaction or case; can also refer to one side of a contractual agreement.

Notice of Lien

A legal document filed to indicate that a claim of ownership has been placed on a property due to unpaid debts.

Period of Time

A specific duration characterized by a starting point and an ending point.

Equity of Redemption

The right of a borrower to reclaim property that is subject to a mortgage by repaying the debt before the foreclosure sale.