What Trade-Off Must Be Considered When Deciding How Much of Your

question 157

Multiple Choice

What trade-off must be considered when deciding how much of your wealth is to be held as money relative to bonds?

• A) Bonds pay more interest and are easier to use for payment.
• B) Bonds pay less interest but are less convenient.
• C) Bonds pay more interest but are less convenient relative to money.
• D) Money pays less interest and is less convenient to use.
• E) Money pays more interest and is less convenient to use.