Which One of the Following Statements Is Correct Concerning Mutual

question 45

Multiple Choice

Which one of the following statements is correct concerning mutual funds?

• A)Mutual funds generally pay no taxes.
• B)Mutual funds are risk-free.
• C)Profits on the sale of mutual fund shares are tax-free.
• D)All mutual funds are diversified.
• E)Investments in mutual funds are guaranteed from loss by a private agency of the federal government.

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Definitions:

Manufacturing Statement

A financial document summarizing the costs associated with the production of goods within a specific period, including materials, labor, and overhead.