All of the Following Statements Are Considered to Be Good

question 89

Multiple Choice

All of the following statements are considered to be good advice for the potential investor before starting his or her personal investment program except:

• A)Learn to live within your means.
• B)Increase credit purchases and make installment payments in order to increase cash available for investing.
• C)Provide adequate insurance protection.
• D)Start an emergency fund.
• E)Establish a line of credit.

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Definitions:

Maximize Utility

An economic principle where individuals or firms aim to achieve the highest satisfaction or profit from their choices.

Households

Units consisting of one or more people who live in the same dwelling and share meals or living accommodation; considered as a single entity for economic analysis.

Satisfaction

The feeling of fulfillment or pleasure derived from achieving a goal, satisfying a desire, or meeting a need.

Service Sector

The segment of the economy that provides intangible goods or services to consumers, including healthcare, education, financial services, and retail.