Milton Is Responsible for Administering a Very Large Mutual Fund's

question 50

Multiple Choice

Milton is responsible for administering a very large mutual fund's investment in a technology company.He carefully scrutinizes the company's acquisitions and a recent take-over bid,however,he does not ever become involved in the day-to-day management of the company,preferring to just sit back and let the managers do their job.The mutual fund is _________ shareholder in this example.

• A) a passive
• B) an active
• C) both passive and active
• D) a majority
• E) a minority

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Definitions:

Mania

A mental state characterized by an excessively elevated mood, energy levels, and activity, often associated with bipolar disorder.

Grandiosity

An exaggerated sense of one's importance, power, knowledge, or identity, often found in personality disorders or manic episodes.

Flight of Ideas

A symptom often seen in manic episodes where an individual's thoughts rapidly and frequently change topics in a disconnected, fragmented manner.

Cultural Bias

The tendency to interpret and judge phenomena by standards inherent to one's own culture.