What Is a Liability

question 10

Multiple Choice

What is a liability?

• A)Inventory
• B)An amount a company owes
• C)A resource a company owns
• D)None of these

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Definitions:

Mutual Fund

An investment vehicle made up of a pool of funds collected from many investors for the purpose of investing in securities such as stocks, bonds, money market instruments, and other assets.

Lock-up

A period post-initial public offering (IPO) during which shareholders are restricted from selling their shares.

Hedge Funds

Investment funds that employ diverse, and often more complex, strategies than traditional mutual funds, including the use of leverage, derivatives, and short selling to generate returns.

Mutual Funds

Investment programs funded by shareholders that trade in diversified holdings and are professionally managed.