Exchange-Traded Funds Are Like Mutual Funds in That They Are

question 21

True/False

Exchange-traded funds are like mutual funds in that they are often structured as an open-end investment company,but they also resemble stock as they are traded throughout the day on a stock exchange.

---

Definitions:

Market Price

The current price at which an asset or service can be bought or sold in a given market.

Insolvent Buyer

An individual or entity that cannot meet financial obligations or pay debts as they become due.

Reclaim Goods

The process by which a seller or creditor regains possession of goods from a buyer due to nonpayment or breach of contract.

Consequential Damages

Refers to indirect damages that arise not from a breach of contract itself but as a foreseeable result of the breach.