A Mutual Fund That Invests in a Mix of Assets

question 151

Multiple Choice

A mutual fund that invests in a mix of assets (usually stocks,bonds,and cash equivalents and sometimes international assets,gold,and real estate) ,and they buy and sell regularly to reduce risk while trying to outperform the market is a(n)

• A)balanced fund.
• B)asset allocation fund.
• C)blend fund.
• D)equity-income fund.

---

Definitions:

Selling and Administrative Expenses

Expenses that are not directly related to the production of goods, including costs related to the selling of products and managing the business.

Merchandise Inventory

Goods a company intends to sell to customers that are considered a current asset on the balance sheet.

Cash Budget

A financial plan that estimates a company's cash inflows and outflows over a specified period, helping in managing liquidity.

Cash Disbursements

The process of paying out money from a company or individual's cash account, usually including expenses, debt payments, and other financial transactions.