Which of the Following Best Describes a Mutual Fund

question 97

Multiple Choice

Which of the following best describes a mutual fund?

• A) It does not have a stated investment goal.
• B) It is professionally managed.
• C) It offers lower returns than individually managed accounts.
• D) It is not a good way to hold a diversified stock portfolio.

---

Definitions:

Positive Request

A form of communication that focuses on a positive or constructive outcome or action, often used to encourage or motivate.

Intangible Rewards

Benefits or compensations that cannot be physically touched but are valued by individuals, such as recognition.

Prestige

The respect, admiration, or high status accorded to an individual, organization, or object based on their achievements, quality, or importance.

Indirect Order

A command or instruction delivered in a way that is not straightforward or direct.