In the Words of George Miller, the Capacity of Short-Term

question 89

Multiple Choice

In the words of George Miller, the capacity of short-term memory is the "magical number _________."

• A)nine, plus or minus two
• B)six, plus or minus one
• C)five, plus or minus two
• D)seven, plus or minus two

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Definitions:

Front-end Loads

Charges paid by investors at the time of purchasing a mutual fund.

Back-end Loads

Fees paid by investors when selling mutual fund shares, typically decreasing over time the longer the shares are held.

Hedge Fund

A private investment fund that employs a variety of strategies to earn active return, or alpha, for their investors, often involving leverage, derivatives, and short selling.

SEC Regulation

A set of rules and laws enacted by the U.S. Securities and Exchange Commission to regulate securities markets and protect investors.