17-85 Which of the Following Statements Is True

question 18

Multiple Choice

17-85 Which of the following statements is true?

• A)Closed-end funds issue an unlimited number of shares as liabilities.
• B)Open-end funds supply limited number of shares to investors.
• C)Open-end funds need not stand ready to buy back previously issued shares from investors at the current market price for the fund's shares.
• D)At a given market price,the supply of open-end fund shares is perfectly inelastic.
• E)The number of outstanding shares of a closed-ended fund may change when the issuing fund chooses to repurchase them.

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Definitions:

Mean

The average of a set of numbers, calculated by adding all the numbers together and dividing by the count of the numbers.

Sample Data

A subset of data selected from a larger population, used for statistical analysis.

Geometric Mean

The nth root of the product of n numbers, used to calculate average rates of return or growth over time.

Closing Stock Price

The final price at which a stock is traded during a trading session on a stock exchange.