Rose Wants to Invest in a Bond Fund

question 44

Multiple Choice

Rose wants to invest in a bond fund.She is a very conservative investor with a high marginal tax rate.Which one of the following types of bond funds might be most suited for her situation?

• A)high-yield corporate
• B)long-term world
• C)short-term municipal
• D)single-state corporate
• E)mortgage

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Definitions:

Credits

Credits refer to the accounting entries that can decrease assets or increase liabilities and equity on a company's balance sheet, opposite to debits.

Transactions

Financial events that affect the assets, liabilities, or equity of a company and can be measured in monetary terms.

Journal

A record where all financial transactions are entered initially, before being posted to individual accounts in the ledger, following the double-entry bookkeeping.

Chronologically

In the sequence of time, where events or records are arranged in the order of their occurrence.