RRSPs Can Contribute to Net Worth by Making Withdrawals to Purchase

question 1

True/False

RRSPs can contribute to net worth by making withdrawals to purchase a home.

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Definitions:

Duration

A measure of the sensitivity of the price of a bond or other debt instrument to a change in interest rates, expressed in years.

Today's Dollars

An amount of money adjusted for inflation to reflect current purchasing power, often used to compare money values at different times.

Investment

The allocation of resources, such as capital or time, in anticipation of generating income or profit.

Modified Duration

A measure of the sensitivity of a bond's price to a change in interest rates, adjusting for the fact that the bond's cash flows change as yields change.