For an Investor Who Wants to Speculate, Which of the Following

question 70

Multiple Choice

For an investor who wants to speculate, which of the following investments would be appropriate?

• A)red-chip stocks
• B)options
• C)utility stocks
• D)corporate bonds
• E)preferred stock issues

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Definitions:

Costs And Benefits

Costs and benefits refer to the negative and positive outcomes, respectively, that are considered when making decisions or evaluating actions and their impacts.

Social Trap

A situation in which a group of individuals act against their best interests by pursuing short-term gains, leading to a worse situation for all in the long term.

Collective Harm

Damage or injury that affects a group or community rather than an individual.

Self-Interest

Acting in a way that is beneficial to oneself, often driven by personal gain or advantage.