Studies of Mutual Fund Performance

question 14

Multiple Choice

Studies of mutual fund performance

• A)indicate that one should not randomly select a mutual fund.
• B)indicate that historical performance is not necessarily indicative of future performance.
• C)indicate that the professional management of the fund insures above market returns.
• D)A and B.
• E)B and C.

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Definitions:

Manual Accounting Information System

A traditional system of accounting in which transactions are recorded and processed by hand without the use of automated software.

Complexity

The state or quality of being intricate or complicated, often used to describe systems, organizations, or problems.

Efficient Accounting System

A streamlined and effective method of managing and processing financial information and transactions within an organization.

Useful Output

The amount of productive work, goods, or services an organization, process, or device generates during a given period.