What Is Step 1 of the Common Steps Used by Investors

question 5

Multiple Choice

What is step 1 of the common steps used by investors to evaluate mutual funds?

• A)Perform a financial checkup to make sure you are ready to invest.
• B)Obtain the money you need to purchase mutual funds.
• C)Determine your investment objectives.
• D)Find a fund with an objective that matches your objective.
• E)Evaluate, evaluate, and evaluate any mutual fund before buying or selling.

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Definitions:

Common Shares

Equity securities that represent ownership interest in a corporation, giving holders voting rights and a share in the company's profits via dividends.

Net Income

The total profit of a company after all expenses and taxes have been deducted from revenues, often referred to as the bottom line.

Dividends

Distributions of a company's earnings given to its shareholders, typically originating from the company's profits.

Red Income

This term is also not recognized in standard economic discussions and might be used in a specific context that is not universally defined.