A Firm Like Intel Has a Market-To-Book Value Ratio That

question 113

True/False

A firm like Intel has a market-to-book value ratio that falls between Apple-Microsoft and Nucor-General Motors. This is because its low level of investment in knowledge resources is matched by a correspondingly huge investment in plant and equipment.

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Tax-exempt Saving

An investment account or product that offers tax benefits, such as no taxation on the interest or profits earned.

529 Plan

A tax-advantaged savings plan designed to encourage saving for future education costs, including tuition, fees, and room and board.

Annual Return

The percentage change in an investment's value over a one-year period, taking into account both capital gains and dividend or interest earnings.

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A type of individual retirement account where contributions are made with after-tax dollars, but withdrawals during retirement are tax-free.