Bonds Are a High-Risk, High-Return Asset Class Compared with Shares

question 98

True/False

Bonds are a high-risk, high-return asset class compared with shares.

---

Definitions:

Statement of Cash Flows

A financial statement that shows how changes in balance sheet accounts and income affect cash and cash equivalents, dividing activities into operating, investing, and financing activities.

Cash Flow

Cash flow refers to the net amount of cash and cash-equivalents being transferred into and out of a business, illustrating the company's financial health and operational efficiency.

Operations

The day-to-day activities and processes conducted by a business to generate value and serve its customers effectively.

Asset Turnover Ratio

A measure of how efficiently a company uses its assets to generate sales revenue.