The More Information a Manager Has, the Less Risk There

question 120

True/False

The more information a manager has, the less risk there is that a decision will be incorrect.

---

Definitions:

Long-Term Investments

Investments in securities, bonds, real estate, or other assets intended to be held for a period exceeding one year for capital gains, dividends, or interest earnings.

Balance Sheet

A summary report of a corporation’s assets, liabilities, and the owners’ equity as recorded at a specific moment in time.

Stock Investments

Securities representing ownership in a corporation or financial assets bought with the expectation they will generate a return.

Investment Expense

Costs associated with the purchase and management of investments, such as fees, advisors' charges, and other related expenses.