The Confidence Index Indicates a Strong Stock Market When the

question 43

Multiple Choice

The confidence index indicates a strong stock market when the

• A) ratio of the average yield on high-grade corporate bonds to the average yield on low-grade corporate bonds rises.
• B) ratio between the average yield on S&P 500 stocks to the average yield on high-grade corporate bonds rises.
• C) consumer confidence index rises above its long-term trend.
• D) demand for bonds declines relative to the demand for equity securities.

---

Definitions:

Tax Return

A form filed with a federal, state, or local tax collection agency detailing income, expenses, and other pertinent tax information, used to calculate tax liability.

Accounting Services

Professional services that deal with the recording, reviewing, and interpreting financial transactions and statements.

Tax Returns

Documents filed with a tax authority that report income, expenses, and other relevant tax information to calculate tax liability.

Income

Money received, especially on a regular basis, through work, investments, business, etc., for goods or services provided.