Converting Values Expressed in Current Dollars to Values Expressed in Constant

question 59

Multiple Choice

Converting values expressed in current dollars to values expressed in constant dollars is called

• A) double counting.
• B) deflating.
• C) depleting.
• D) depreciating.
• E) devaluing.

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Definitions:

Short-selling

The practice of selling securities or other financial instruments that are not currently owned, with the intention of repurchasing them later at a lower price.

120/20 Fund

A type of mutual fund that employs a long/short strategy, allowing it to invest 120% in long positions and -20% in short positions.

Prospectus

A formal document that provides details about an investment offering for sale to the public.

Management Fee

A charge paid to investment managers for their services, typically a percentage of the assets under management.