Which of the Following Is NOT a Benefit of Investing

question 69

Multiple Choice

Which of the following is NOT a benefit of investing through managed funds?

• A)Reduced research costs
• B)Reduced transactions costs
• C)Customised portfolios
• D)Diversification
• E)Expertise

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Definitions:

Debt-equity Ratio

An indicator measuring the relative funding of a company's assets from debt versus shareholders' equity.

Weighted Average Cost

An inventory valuation method that assigns a cost to inventory and goods sold based on the average cost of all similar goods available during a specific period.

Tax Rate

The determined percentage of earnings that an individual or a corporation must contribute as tax.

Debt-equity Ratio

This ratio compares a company's total liabilities to its shareholder equity, indicating the relative proportion of shareholder equity and debt used to finance a company's assets.