Which of the Following Statements Is False

question 65

Multiple Choice

Which of the following statements is false?

• A)The purpose of investing in a closed-end or open-end mutual fund is to earn a financial return.
• B)Income dividends are the earnings that a fund pays to shareholders after it has deducted expenses from its dividend and interest income.
• C)Capital gain distributions are the payments made to a fund's shareholders that result from the sale of securities in the fund's portfolio.
• D)It is possible to make money on a mutual fund by purchasing shares at a high price and then selling them at a low price at a later date.
• E)Real estate funds aim for long term growth

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Definitions:

Currency Exchange Rate

The price of one country’s currency in terms of another country’s currency.

Purchasing Power

The value of a currency expressed in terms of the amount of goods or services that one unit of money can buy.

Gross Domestic Product

The total value of all goods and services produced within a country's borders in a specific time period.

Currency Fluctuation

The variation in the exchange rate of one currency relative to another over time, influenced by economic factors, market demand, and geopolitical events.