Which of the Following Statements Is True

question 61

Multiple Choice

Which of the following statements is true?

• A)Closed-end funds issue an unlimited number of shares as liabilities.
• B)Open-end funds supply limited number of shares to investors.
• C)Open-end funds need not stand ready to buy back previously issued shares from investors at the current market price for the fund's shares.
• D)At a given market price, the supply of open-end fund shares is perfectly inelastic.
• E)The number of outstanding shares of a closed-ended fund may change when the issuing fund chooses to repurchase them.

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Definitions:

Save Face

To act or speak in a way that maintains one's reputation or dignity in the eyes of others, often after a mistake or embarrassing situation.

Deceive

To intentionally mislead or give a false impression to others, often to gain some advantage or hide the truth.

Divert

To change the direction or course of something, often to avoid a problem or to distract attention.

Project

A planned set of interrelated tasks to be executed over a fixed period and within certain cost and other limitations, aimed at achieving a specific goal.