Which of the Following Statements Is False

question 49

Multiple Choice

Which of the following statements is false?

• A)Investors purchase mutual funds for diversification.
• B)Investors purchase mutual funds because of professional management.
• C)Investors who purchase mutual funds are guaranteed a higher rate of return than a comparable investment in stocks or bonds.
• D)Professional mutual fund managers work for an investment company.
• E)Even the best portfolio managers sometimes make mistakes.

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Definitions:

Bystander Effect

A phenomenon in social psychology where people are less inclined to provide assistance to a person in distress when they are in the company of others.

Physical Danger

The risk or threat of bodily harm or injury.

Flight Attendant

A member of the aircrew tasked with ensuring the safety, comfort, and service for passengers during flights.

Communication Structure

The organization and arrangement of components within a communication system, determining how information is transmitted and received.