According to McDonald, Leverage Is

question 30

Multiple Choice

According to McDonald, leverage is:

• A) Diversifying by putting money in many different investments
• B) Borrowing money and then risking it without a way to cover the potential loss
• C) Considering how the investment will look in three to five years
• D) Charging investors very high fees
• E) Keeping enough capital on hand to cover any losses sustained

---

Definitions:

Homer

A legendary ancient Greek poet traditionally said to be the author of the epic poems the Iliad and the Odyssey.

Plato

An ancient Greek philosopher, a pivotal figure in the development of Western philosophy and the founder of the Academy in Athens.

Universal Form

A concept in philosophy that suggests the existence of abstract properties or forms that universally apply to instances of various objects or ideas.

Fall in Love

The emotional process of developing strong feelings of affection and attachment towards another person.