You Determine That the Appropriate Balance for Your Investment-Risk Tolerance

question 43

Multiple Choice

You determine that the appropriate balance for your investment-risk tolerance is a 70-20-10 proportion (stocks,bonds,and cash) .After the first year,your $10,000 investment has doubled in value to $20,000,with $16,000 in stocks,$2,750 in bonds,and $1,250 in cash.How should your assets be allocated to retain your risk proportions?

• A)Sell $2,000 in stocks,buy $1,250 in bonds,and add $750 in cash
• B)Sell $1,000 in stocks,buy $2,250 in bonds,and add $750 in cash
• C)Buy $1,000 in stock,sell $2,250 in bonds,and reduce cash by $750
• D)Buy $2,000 in stock,sell $1,250 in bonds,and reduce cash by $750

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Definitions:

Vulnerable Narcissism

Narcissism including low extraversion and dominance but high neuroticism.

Grandiose Narcissism

Grandiose narcissism is characterized by an inflated sense of self-importance, a deep need for admiration, and a lack of empathy for others.

Grandiose Narcissism

A form of narcissism marked by high self-esteem, a sense of superiority, and a desire for admiration and attention.

Vulnerable Narcissism

A form of narcissism where the individual is overly sensitive, insecure, and exhibits traits of defensiveness and introversion.